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Firm growth : a survey

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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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File URL: ftp://mse.univ-paris1.fr/pub/mse/CES2007/R07024.pdf
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Bibliographic Info

Paper provided by Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne in its series Documents de travail du Centre d'Economie de la Sorbonne with number r07024.

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Length: 73 pages
Date of creation: May 2007
Date of revision:
Handle: RePEc:mse:cesdoc:r07024

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

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Cited by:
  1. Alessandra Colombelli & Naciba Haned & Christian Le Bas, 2011. "On Firm Growth and Innovation. Some new empirical perspectives using French CIS (1992-2004)," ICER Working Papers 07-2011, ICER - International Centre for Economic Research.
  2. Koski, Heli, 2011. "Does Marginal Cost Pricing of Public Sector Information Spur Firm Growth?," Discussion Papers 1260, The Research Institute of the Finnish Economy.
  3. Henrekson, Magnus & Johansson, Dan, 2008. "Gazelles as Job Creators – A Survey and Interpretation of the Evidence," Ratio Working Papers 117, The Ratio Institute.
  4. Alex Coad, 2008. "Distance to Frontier and Appropriate Business Strategy," DRUID Working Papers 08-05, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
  5. Deschryvere, Matthias, 2008. "High Growth Firms and Job Creation in Finland," Discussion Papers 1144, The Research Institute of the Finnish Economy.
  6. Pitelis, Christos & Panagopoulos, Andreas, 2009. "Open innovation and the management of intra-firm conflict," MPRA Paper 23940, University Library of Munich, Germany.
  7. repec:ebl:ecbull:v:12:y:2008:i:9:p:1-15 is not listed on IDEAS
  8. Pradhan, Jaya Prakash, 2009. "Firm Performance during Global Economic Slowdown: A View from India," MPRA Paper 17145, University Library of Munich, Germany.
  9. Lunardi, José T. & Miccichè, Salvatore & Lillo, Fabrizio & Mantegna, Rosario N. & Gallegati, Mauro, 2014. "Do firms share the same functional form of their growth rate distribution? A statistical test," Journal of Economic Dynamics and Control, Elsevier, vol. 39(C), pages 140-164.
  10. Alexander Coad & Rekha Rao, 2007. "The Employment Effects of Innovations in High-Tech Industries," Papers on Economics and Evolution 2007-05, Philipps University Marburg, Department of Geography.
  11. A. Arrighetti & A. Ninni, 2009. "Firm size and growth opportunities: a survey," Economics Department Working Papers 2009-EP05, Department of Economics, Parma University (Italy).
  12. 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.
  13. Alexander Coad, 2007. "Disentangling the firm growth process: evidence from a recursive panel VAR," Papers on Economics and Evolution 2007-15, Philipps University Marburg, Department of Geography.
  14. repec:hal:cesptp:hal-00642688 is not listed on IDEAS

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