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The role of employees for post-entry firm growth

  • Andreas Koch
  • Jochen Späth

    ()

  • Harald Strotmann

While the majority of existing studies on the determinants of post-entry firm growth focus on the role of the founders or on the impact of firm-specific characteristics, possible effects of the characteristics of a start-up’s workforce have been widely neglected to date. In this paper we examine the role of initial worker and job characteristics (e.g., qualification, age, workload, marginal employment) of start-ups for their post‐entry employment growth. The analyses are based upon a capacious panel dataset comprising a representative 50 % sample of establishments in Germany. Our empirical results show that, inter alia, high-skilled and young workers are conducive to growth in terms of both the number of employees and full-time equivalents. With respect to flexible work forms, however, establishments using part-time employment show higher post‐entry growth only in terms of total hours worked, but a significantly lower growth with respect to the number of employees. Copyright Springer Science+Business Media New York 2013

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File URL: http://hdl.handle.net/10.1007/s11187-012-9456-6
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Article provided by Springer in its journal Small Business Economics.

Volume (Year): 41 (2013)
Issue (Month): 3 (October)
Pages: 733-755

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Handle: RePEc:kap:sbusec:v:41:y:2013:i:3:p:733-755
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