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Heritage and Firm Survival - An Analysis of German Automobile Spinoffs 1886-1939

Author

Listed:
  • Kristina von Rhein

    (Friedrich-Schiller-University Jena, Graduate School "Human Behaviour in Social and Economic Change", Department of Economics)

Abstract

The theory predicts that spinoffs of successful parents are more successful than others. The success of the parents can be measured in two ways, either in terms of their survival duration or concerning their innovative activity. In this paper, the survival chances of spinoffs in the German automobile industry regarding the success of their parents will be investigated. Therefore it is differentiated between spinoffs of old parents and spinoffs of innovative parents. The results of the Cox regressions show that spinoffs of old parents have better survival chances than those of innovative parents.

Suggested Citation

  • Kristina von Rhein, 2008. "Heritage and Firm Survival - An Analysis of German Automobile Spinoffs 1886-1939," Jena Economics Research Papers 2008-025, Friedrich-Schiller-University Jena.
    • Handle: RePEc:jrp:jrpwrp:2008-025
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    File URL: https://oweb.b67.uni-jena.de/Papers/jerp2008/wp_2008_025.pdf
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    Citations

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    Cited by:

    1. Klepper, Steven, 2010. "The origin and growth of industry clusters: The making of Silicon Valley and Detroit," Journal of Urban Economics, Elsevier, vol. 67(1), pages 15-32, January.
    2. Fackler, Daniel & Schnabel, Claus, 2013. "Survival of Spinoffs and Other Startups: First Evidence for the Private Sector in Germany, 1976-2008," IZA Discussion Papers 7542, Institute of Labor Economics (IZA).
    3. Klepper, Steven & Thompson, Peter, 2010. "Disagreements and intra-industry spinoffs," International Journal of Industrial Organization, Elsevier, vol. 28(5), pages 526-538, September.
    4. Krüger, Jens J. & von Rhein, Kristina, 2015. "Macroeconomic development and the life cycle of the German automobile industry, 1886-1939," Darmstadt Discussion Papers in Economics 224, Darmstadt University of Technology, Department of Law and Economics.
    5. Krüger, Jens, 2015. "Survival analysis in product life cycle investigations: An assessment of robustness for the German automobile industry," Darmstadt Discussion Papers in Economics 223, Darmstadt University of Technology, Department of Law and Economics.
    6. Broström, Anders & Lööf, Hans & Nabavi, Pardis, 2016. "Inherited Advantage and Spinoff Success," Working Paper Series in Economics and Institutions of Innovation 437, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.

    More about this item

    Keywords

    firm survival; spinoffs; heritage; automobile industry;
    All these keywords.

    JEL classification:

    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
    • L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment; Related Parts and Equipment
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies

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