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A life cycle analysis of Hunan's enterprises and their determinants

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  • Chen, Xiaohong
  • Cao, Yu
  • Wang, Fuqiang
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    Abstract

    Using the life table method, we analyzed in this paper the survival of enterprises that were established from 1980 to 2007 in the Hunan province. Based on the quantile indicators, the average remaining firm lifespan in the specified period of time and the average survival time during a specific period of time, we conducted a comparative study using enterprises associated with different cities, industries, capital sizes, types of ownership and periods of establishment. The results show that there are great differences in firm survival that correlate with differences in city affiliation, industry, capital size, ownership type and period of establishment. Survival of Chinese enterprises is affected not only by the location of the business, the industry and the capital scale, which are usual players in the classical theory of industrial organization, but also by the nature of ownership and the time of establishment, which are determined by China's national context.

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    Bibliographic Info

    Article provided by Elsevier in its journal China Economic Review.

    Volume (Year): 21 (2010)
    Issue (Month): 3 (September)
    Pages: 470-481

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    Handle: RePEc:eee:chieco:v:21:y:2010:i:3:p:470-481

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    Web page: http://www.elsevier.com/locate/chieco

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    Keywords: Firm survival Life table Capital scale Types of ownership Hunan;

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