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The Role of Innovation in the Postentry Performance of New Small Firms: Evidence from Italy

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Author Info
Alessandro Arrighetti
Marco Vivarelli

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Abstract

The purpose of this paper is to relate the start-up decision to the postentry performance of new small firms. We use a database of 147 newly founded Italian firms that have spun-off from existing firms. The quantitative questionnaire analysis studied the relationship between the original factors shaping the decision to start a new firm, including learning in the “mother” firm, and the postentry performance of the new initiatives. The evidence suggests that innovative motivation, innovative learning, and a higher managerial position in the original mother firm tend to be related to a superior postentry performance.

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Publisher Info
Article provided by Southern Economic Association in its journal Southern Economic Journal.

Volume (Year): 65 (1999)
Issue (Month): 4 (April)
Pages: 927-939
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Handle: RePEc:sej:ancoec:v:65:4:y:1999:p:927-939

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Web page: http://www.southerneconomic.org/
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  1. Jae Kang & Almas Heshmati, 2008. "Effect of credit guarantee policy on survival and performance of SMEs in Republic of Korea," Small Business Economics, Springer, vol. 31(4), pages 445-462, December. [Downloadable!] (restricted)
    Other versions:
  2. Raquel Ortega-Argilés & Marco Vivarelli & Peter Voigt, 2009. "R&D in SMEs: a paradox?," Small Business Economics, Springer, vol. 33(1), pages 3-11, June. [Downloadable!] (restricted)
  3. Pei-Chou Lin & Deng-Shing Huang, 2008. "Technological Regimes and Firm Survival: Evidence Across Sectors and Over Time," Small Business Economics, Springer, vol. 30(2), pages 175-186, February. [Downloadable!] (restricted)
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