Abstract
This article examines to what extent and how the presence of gazelles, young high-impact firms, is related to the growth of industries over time. For this purpose, we analyze gazelles in The Netherlands over a 12-year period, annually from 1997 until 2008, and relate them to the dynamics of industry employment. We use a panel vector autoregressive model to explore the relationship between the prevalence of gazelles in an industry and industry employment growth, in an economy-wide dataset including 43 two-digit industries. An increase in the prevalence of gazelles in an industry appears to have a positive effect on subsequent industry growth. We do not find evidence of an inverse causal relationship: there are no long-run positive effects of increases in industry growth on the prevalence of gazelles. There is also no relationship between overrepresentation of gazelles and subsequent industry growth.
Original language | English |
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Pages (from-to) | 145-169 |
Number of pages | 25 |
Journal | Industrial and Corporate Change |
Volume | 23 |
Issue number | 1 |
DOIs | |
Publication status | Published - Feb 2014 |
Keywords
- L16
- L25
- L26
- M13
- RESEARCH-AND-DEVELOPMENT
- TECHNOLOGY-BASED FIRMS
- BUSINESS FORMATION
- INNOVATION
- BEHAVIOR
- ENTRY
- ENTREPRENEURSHIP
- MATTER
- POLICY
- ROLES