Are Small Firms Really Sub-Optimal?: Compensating Factor Differentials in Small Dutch Manufacturing Firms
AbstractThe advent of a growing share of small firms in modern economies raises some intriguing questions. The most intriguing question undoubtedly is why so many smaller firms, which have traditionally been classified as sub-optimal scale firms, can exist. The authors suggest that, through pursuing a strategy of copmpensating factor differentials, that is by remunerating and deploying factors of production differently than their larger counterparts, small firms are able to compensate for inherent-siza cost disadvantages.
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Bibliographic InfoPaper provided by NEUHUYS - RESEARCH INSTITUTE FOR SMALL AND MEDIUM in its series Papers with number 9902/e.
Length: 47 pages
Date of creation: 1999
Date of revision:
Contact details of provider:
Postal: RESEARCH INSTITUTE FOR SMALL AND MEDIUM-SIZED BUSINESS IN THE NETHERLANDS, NEUHUYS.
SIZE OF ENTERPRISE ; MANUFACTURES ; EFFICIENCY;
Other versions of this item:
- Roy Thurik & Gerco van Leeuwen & David Audretsch & Bert Menkveld, 1999. "Are small firms really sub-optimal?: compensating factor differentials in small Dutch manufacturing firms," Scales Research Reports H199902, EIM Business and Policy Research.
- L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
- L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm
- L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
- O12 - Economic Development, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
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- Bechmann, Sebastian & Dahms, Vera & Fischer, Agnes & Frei, Marek & Leber, Ute & Möller, Iris, 2011. "Beschäftigung, Arbeit und Unternehmertum in deutschen Kleinbetrieben : Ergebnisse aus dem IAB-Betriebspanel 2010," IAB-Forschungsbericht 201107, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
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