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Firm Competitive Strategies and the Likelihood of Survival. The Spanish Case

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  • Raquel Ortega-Argilés
  • Rosina Moreno

Abstract

This paper analyses the impact that some managerial competitive strategies followed by a firm may have on its survival. We have not only considered the classic strategies related to the passive learning process defined by Jovanovic (e.g., R&D or advertisement expenses), but we have also taken into account the active learning process ideas given by Ericson and Pakes. This way, we study the effect of product and process innovative strategies, with a detailed desegregation of their functions, on firm’s survival likelihood. Several non-parametric, semi-parametric and parametric techniques are computed to check the effect of the active learning theory on business survival in a set of Spanish manufacturing firms (1990-2001).

Suggested Citation

  • Raquel Ortega-Argilés & Rosina Moreno, 2007. "Firm Competitive Strategies and the Likelihood of Survival. The Spanish Case," Papers on Entrepreneurship, Growth and Public Policy 2007-05, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group.
  • Handle: RePEc:esi:egpdis:2007-05
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    References listed on IDEAS

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    Cited by:

    1. Enrico Santarelli & Marco Vivarelli, 2007. "Entrepreneurship and the process of firms’ entry, survival and growth," Industrial and Corporate Change, Oxford University Press, vol. 16(3), pages 455-488, June.
    2. Hielke Buddelmeyer & Paul H. Jensen & Elizabeth Webster, 2006. "Innovation and the Determinants of Firm Survival," Melbourne Institute Working Paper Series wp2006n15, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    3. Nikolinka Fertala, 2008. "The shadow of death: do regional differences matter for firm survival across native and immigrant entrepreneurs?," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 35(1), pages 59-80, March.
    4. Cefis, Elena & Marsili, Orietta, 2012. "Going, going, gone. Exit forms and the innovative capabilities of firms," Research Policy, Elsevier, vol. 41(5), pages 795-807.
    5. repec:spr:chfecr:v:4:y:2016:i:1:d:10.1186_s40589-016-0044-9 is not listed on IDEAS
    6. Maxwell Sandada & Lorraine Mangwandi, 2015. "An Assessment of the Influence of Selected on the Performance of Small to Medium Sized Family Owned Businesses in the Zimbabwe Retail Sector," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 11(5), pages 5-16, October.

    More about this item

    Keywords

    firm survival; active learning theory; duration analysis.;

    JEL classification:

    • L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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