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Determinants of firm start-up size in the Brazilian industry: an empirical investigation

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  • Marcelo Resende

Abstract

The article investigates the determinants of newly created industrial establishments in Brazil in 1997 taking as reference explanatory variables referring to market structure and industry dynamics, stronger effects are detected for larger firms. Minimum efficient scale, industry size, industry growth and turbulence display the expected positive effects on firm size, but the intensity of those are more pronounced for larger firms. The suboptimal scale variable, on the other hand, exhibits a counterintuitive positive effect and perhaps other types of barriers to entry that are not related to scale aspects may be important in the Brazilian case.

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File URL: http://www.tandfonline.com/doi/abs/10.1080/00036840500461998
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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Applied Economics.

Volume (Year): 39 (2007)
Issue (Month): 8 ()
Pages: 1053-1058

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Handle: RePEc:taf:applec:v:39:y:2007:i:8:p:1053-1058

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Cited by:
  1. Bruno De Paula Rocha & Márcio Issao Nakane, 2011. "Entries, Exits And The Resourceallocation: An Analysis Of The Banking Intermediation In Brazil," Anais do XXXVIII Encontro Nacional de Economia [Proceedings of the 38th Brazilian Economics Meeting] 092, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics].
  2. Alex Coad & Julian Frankish & Paul Nightingale & Richard G. Roberts & David J. Storey, 2012. "Business Experience and Start-up Size: Buying More Lottery Tickets Next Time Around?," SPRU Working Paper Series 203, SPRU - Science and Technology Policy Research, University of Sussex.

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