IDEAS home Printed from https://ideas.repec.org/p/wiw/wiwrsa/ersa06p745.html
   My bibliography  Save this paper

Taking the First Hurdle. The Effects of Industry Specific Skills and Support on Survival During the Founding Process

Author

Listed:
  • Sierdjan Koster

    ()

Abstract

Spin-offs are considered successful founding efforts. The combination of relevant industry specific knowledge and direct support from a parent company make these firms stand out from the rest. Spin-offs are usually defined on the basis of the previous employment positions of the entrepreneurs. This method disregards the process of resource transfer that theoretically explains the differences in performance with other foundings. This paper offers an empirical analysis based on the actual resource transfer from parent firm to founding. Using the ERC dataset, entrepreneurial skills are used to explain the successful conclusion of the founding process. Having skills related to production seems to be beneficial, especially when the founding effort also receives support from the parent company. Receiving support as such does not render any positive results. Next to the effect of production skills, industry experience adds to the explanation of successful founding. It is probable that skills related to market knowledge, being part of a network, and reputation enhance chances of pre-entry survival as well.

Suggested Citation

  • Sierdjan Koster, 2006. "Taking the First Hurdle. The Effects of Industry Specific Skills and Support on Survival During the Founding Process," ERSA conference papers ersa06p745, European Regional Science Association.
  • Handle: RePEc:wiw:wiwrsa:ersa06p745
    as

    Download full text from publisher

    File URL: http://www-sre.wu.ac.at/ersa/ersaconfs/ersa06/papers/745.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Aguayo, Eva & Exposito, Pilar & Lamelas, Nelida, 2001. "Econometric model of Services Sector Development and Impact of Tourism in Latin American Countries," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 1(2).
    2. Sorm, Vit & Terrell, Katherine, 2000. "Sectoral Restructuring and Labor Mobility: A Comparative Look at the Czech Republic," Journal of Comparative Economics, Elsevier, pages 431-455.
    3. Valev, Neven, 2004. "No pain, no gain: market reform, unemployment, and politics in Bulgaria," Journal of Comparative Economics, Elsevier, pages 409-425.
    4. Sorm, Vit & Terrell, Katherine, 2000. "Sectoral Restructuring and Labor Mobility: A Comparative Look at the Czech Republic," Journal of Comparative Economics, Elsevier, pages 431-455.
    5. Guisan, M.Carmen & Aguayo, Eva, 2001. "Employment and regional development in Germany," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 1(2), pages 59-90.
    6. Andrienko, Yuri & Guriev, Sergei, 2003. "Determinants of Interregional Mobility in Russia: Evidence from Panel Data," CEPR Discussion Papers 3835, C.E.P.R. Discussion Papers.
    7. Oleh Havrylyshyn, 2001. "Recovery and Growth in Transition: A Decade of Evidence," IMF Staff Papers, Palgrave Macmillan, vol. 48(4), pages 1-4.
    8. Fabian Bornhorst & Simon Commander, 2006. "Regional unemployment and its persistence in transition countries," The Economics of Transition, The European Bank for Reconstruction and Development, pages 269-288.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Sierdjan Koster, 2009. "Taking The First Hurdle In New Firm Formation. The Effects Of Industry-Specific Skills And Support On Survival During The Founding Process," Romanian Journal of Regional Science, Romanian Regional Science Association, vol. 3(1), pages 36-62, JUNE.
    2. Andersson, Martin & Baltzopoulos, Apostolos & Lööf, Hans, 2010. "R&D Strategies and Entrepreneurial Spawning," Working Paper Series in Economics and Institutions of Innovation 228, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    3. Andersson, Martin & Baltzopoulos, Apostolos & Lööf, Hans, 2012. "R&D strategies and entrepreneurial spawning," Research Policy, Elsevier, pages 54-68.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    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:wiw:wiwrsa:ersa06p745. 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: (Gunther Maier). General contact details of provider: http://www.ersa.org .

    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.