Market delimitation, firm survival and growth in service industries

Ramón Rufín and Cayetano Medina

The Service Industries Journal, 2008, vol. 30, issue 9, 1401-1417

Abstract: This article focuses on the effect of both firm survival and market delimitation on stochastic growth behaviour in the realm of service industries. Two samples of firms were selected for the study, one of them representing the surviving firm population in the tourism industry and the other one representing the firm total. The activity of firms was used for measuring the influence of market delimitation. Stochastic growth behaviour is found to hold for the sector as a whole, whereas it does not do so for the population of surviving firms. Market delimitation is also observed to influence growth behaviour, but only when combined with firm survival.

Date: 2008
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Persistent link: https://EconPapers.repec.org/RePEc:taf:servic:v:30:y:2008:i:9:p:1401-1417

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DOI: 10.1080/02642060802621494

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The Service Industries Journal is currently edited by Eileen Bridges, Professor Domingo Ribeiro, Ronald Goldsmith, Barry Howcroft and Youjae Yi

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