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Firm Growth : a Survey

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  • Alex Coad

    () (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Paris I - Panthéon-Sorbonne, Max Planck Institute of Economics - Evolutionary Economics Group)

Abstract

We survey the phenomenon of the growth of firms drawing on literature from economics, management and sociology. We begin with a review of empirical "stylised facts" before discussing theoretical contributions. Firm growth is characterized by a predominant stochastic element, making it difficult to predict. Indeed, previous empirical research into the determinants of firm growth has had a limited success. We also observe that theoretical propositions concerning the growth of firms are often amiss. We conclude that progress in this area requires solid empirical work, perhaps making use of novel statistical techniques.

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Bibliographic Info

Paper provided by HAL in its series Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) with number halshs-00155762.

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Date of creation: May 2007
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Handle: RePEc:hal:cesptp:halshs-00155762

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Related research

Keywords: Firm growth; size distribution; growth rates distribution; Gibrat's law; theory of the firm; diversification; "stages of growth" models.;

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Blog mentions

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Cited by:
  1. Deschryvere, Matthias, 2008. "High Growth Firms and Job Creation in Finland," Discussion Papers 1144, The Research Institute of the Finnish Economy.
  2. Alexander Coad & Rekha Rao, 2007. "The Employment Effects of Innovations in High-Tech Industries," Papers on Economics and Evolution 2007-05, Max Planck Institute of Economics, Evolutionary Economics Group.
  3. Koski, Heli, 2011. "Does Marginal Cost Pricing of Public Sector Information Spur Firm Growth?," Discussion Papers 1260, The Research Institute of the Finnish Economy.
  4. Giulio Bottazzi & Alex Coad & Nadia Jacoby & Angelo Secchi, 2011. "Corporate growth and industrial dynamics: evidence from French manufacturing," Applied Economics, Taylor and Francis Journals, vol. 43(1), pages 103-116.
  5. Pitelis, Christos & Panagopoulos, Andreas, 2009. "Open innovation and the management of intra-firm conflict," MPRA Paper 23940, University Library of Munich, Germany.
  6. Alexander Coad, 2008. "Distance to Frontier and Appropriate Business Strategy," Papers on Economics and Evolution 2008-07, Max Planck Institute of Economics, Evolutionary Economics Group.
  7. Henrekson, Magnus & Johansson, Dan, 2008. "Gazelles as Job Creators – A Survey and Interpretation of the Evidence," Ratio Working Papers 117, The Ratio Institute.
  8. Pradhan, Jaya Prakash, 2009. "Firm Performance during Global Economic Slowdown: A View from India," MPRA Paper 17145, University Library of Munich, Germany.
  9. Alexander Coad, 2007. "Disentangling the firm growth process: evidence from a recursive panel VAR," Papers on Economics and Evolution 2007-15, Max Planck Institute of Economics, Evolutionary Economics Group.
  10. Greene, Francis, 2012. "Should the focus of publicly provided small business assistance be on start-ups or growth businesses?," Occasional Papers 12/2, Ministry of Economic Development, New Zealand.
  11. repec:ebl:ecbull:v:12:y:2008:i:9:p:1-15 is not listed on IDEAS
  12. A. Arrighetti & A. Ninni, 2009. "Firm size and growth opportunities: a survey," Economics Department Working Papers 2009-EP05, Department of Economics, Parma University (Italy).

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