To Be Born Is Not Enough: The Key Role of Innovative Startups

Alessandra Colombelli, Jackie Krafft and Marco Vivarelli ()

No 9733, IZA Discussion Papers from IZA Network @ LISER

Abstract: This paper investigates the reasons why entry per se is not necessarily good and the evidence showing that innovative startups survive longer than their non-innovative counterparts. In this framework, our own empirical analysis shows that greater survival is achieved when startups engage successfully in both product innovation and process innovation, with a key role of the latter. Moreover, this study goes beyond a purely microeconomic perspective and discusses the key role of the environment within which innovative entries occur. What is shown and discussed in this contribution strongly supports the proposal that the creation and survival of innovative start-ups should become one qualifying point of the economic policy agenda.

Keywords: innovation; startups; survival; product innovation; process innovation (search for similar items in EconPapers)
JEL-codes: L26 O33 (search for similar items in EconPapers)
Pages: 41 pages
Date: 2016-02
New Economics Papers: this item is included in nep-edu, nep-ent, nep-ino and nep-sbm
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (104)

Published - published in: Small Business Economics, 2016, 47, 277-291

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Working Paper: To be born is not enough: the key role of innovative start-ups (2016)
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Persistent link: https://EconPapers.repec.org/RePEc:iza:izadps:dp9733

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