This article examines the effects of innovation on survival using data on all manufacturing firms active in the Netherlands and the Community Innovation Survey. By estimating a parametric duration model, we show that firms benefit from an innovation premium that extends their life expectancy, independent of firm-specific traits such as age and size. Process innovation in particular seems to have a distinctive effect on survival. Furthermore, survival chances increase with the age and growth rate of a firm, the latter being more crucial than initial size. Finally, high intensity technology sectors are the most favorable to firm's survival. Copyright 2005, Oxford University Press.
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Volume (Year): 14 (2005) Issue (Month): 6 (December) Pages: 1167-1192 Download reference. The following formats are available: HTML
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Miguel Manjón-AntolÃn & Josep-Maria Arauzo-Carod, 2008.
"Firm survival: methods and evidence,"
Empirica,
Springer, vol. 35(1), pages 1-24, March.
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Cefis, E. & Marsili, O., 2007.
"Going, Going, Gone. Innovation and Exit in Manufacturing Firms,"
Research Paper
ERS-2007-015-ORG Revision, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus Uni.
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