IDEAS home Printed from
   My bibliography  Save this article

Growth factors of flemish enterprises: an exploratory study over the period 1993-1997


  • Eddy Laveren
  • Arthur Limere
  • Kathleen Cleeren


In this empirical study we investigated which company characteristics and which characteristics of population demography and firm location discriminate strongly and weakly growing firms in the Flemish part of Belgium. At the same time we examined whether existing governmental growth incentives actually are positively related to firm growth. Further, differences in growth between provinces and between industries in Flanders were analysed. Stepwise logistic regression was applied to growth categories identifying the 25% strongest and the 25% weakest growing companies on the investment level (growth in value added and total assets) and on the employment level (growth in the number of employees). The results show that a healthy financial situation is positively related to employment growth and especially investment growth. Governmental efforts to strengthen growth also seem to exhibit a positive relationship with either investment or employment growth. The height of the social security contributions--often indicated as the culprit for the weak international competitive position of Belgian firms--on the other hand seems to be negatively correlated with both growth measures. Further, we found evidence for significant correlations between demographic characteristics of the population as well as firm location and firm growth. Industry wise, the low growth performance of "wholesale trade, retail trade, hotels, restaurants and pubs, repair" (NACE division 6) and "other processing industries" (NACE division 4) became evident. Regionally, the figures show growth to be significantly weaker for firms situated around the central axis Antwerp-Brussels.

Suggested Citation

  • Eddy Laveren & Arthur Limere & Kathleen Cleeren, 2003. "Growth factors of flemish enterprises: an exploratory study over the period 1993-1997," Brussels Economic Review, ULB -- Universite Libre de Bruxelles, vol. 46(1), pages 5-38.
  • Handle: RePEc:bxr:bxrceb:y:2003:v:46:i:1:p:5-38

    Download full text from publisher

    File URL:
    Download Restriction: info:eu-repo/semantics/openAccess

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

    More about this item


    Firm growth; régional firm growth; peripherality; employment growth; investment growth; growth characteristics;

    JEL classification:

    • M20 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - General
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)


    Access and download statistics


    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:bxr:bxrceb:y:2003:v:46:i:1:p:5-38. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Benoit Pauwels). General contact details of provider: .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.