IDEAS home Printed from https://ideas.repec.org/a/taf/indinn/v29y2022i8p969-991.html
   My bibliography  Save this article

Co-Worker complementarities and new firm survival

Author

Listed:
  • Therese Danley
  • Rikard H Eriksson

Abstract

In the present paper, we analyse the association between the skill composition of young firms and the firms’ subsequent survival. This is made possible by means of a matched employer-employee dataset from Statistics Sweden on a cohort of firms that started between 2001 and 2003. Our findings show that, compared to firms that exit, the firms that survive at least until 2012 have teams with higher complementarity at the start, and successively increase their skill complementarity over time. Subsequent discrete time hazard models, controlling for several well-known determinants of firm longevity, show that complementarity plays a crucial role for firm survival. Higher skill synergy within firms, as compared to high degrees of substitutability, is associated with a lower conditional probability of failing. The role of skill complementarity is stable across different specifications and outweighs many other determinants of firm survival, such as starting size and experience of the founder.

Suggested Citation

  • Therese Danley & Rikard H Eriksson, 2022. "Co-Worker complementarities and new firm survival," Industry and Innovation, Taylor & Francis Journals, vol. 29(8), pages 969-991, September.
    • Handle: RePEc:taf:indinn:v:29:y:2022:i:8:p:969-991
    DOI: 10.1080/13662716.2022.2109454
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/13662716.2022.2109454
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/13662716.2022.2109454?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:indinn:v:29:y:2022:i:8:p:969-991. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CIAI20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.