Are Firms in Business Groups More Productive? An empirical analysis based on German micro-level data with a special emphasis on the roles of regional and sectoral diversity
The present paper analyses whether and how the affiliation of a firm to a business group affects its productivity. Based on novel data consisting of official firm data from the German Business Register including ownership information from Bureau van Dijkâ€™s MARKUS database and from the Cost Structure Panel we assess differences in productivity (1) between independent firms and firms affiliated to groups and (2) affiliated firms controlled by German owners and affiliated firms controlled by foreign owners. Controlling for a series of determinants like, for example, the internal diversity of firms and groups, region, sector and size of firms, it is shown that group members have a productivity premium between 6 and 28% depending on the considered subsample. Furthermore, affiliates under foreign control are more productive than firms controlled by domestic owners.
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- Joachim Wagner, 2010.
"The Research Potential of New Types of Enterprise Data based on Surveys from Official Statistics in Germany,"
Schmollers Jahrbuch : Journal of Applied Social Science Studies / Zeitschrift für Wirtschafts- und Sozialwissenschaften,
Duncker & Humblot, Berlin, vol. 130(1), pages 133-142.
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- Wagner, Joachim, 2009. "The Research Potential of New Types of Enterprise Data Based on Surveys from Official Statistics in Germany," IZA Discussion Papers 4364, Institute for the Study of Labor (IZA).
- Joachim Wagner, 2009. "The Research Potential of New Types of Enterprise Data based on Surveys from Official Statistics in Germany," Working Paper Series in Economics 135, University of Lüneburg, Institute of Economics.
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