Growth and performance contrasts between ‘types’ of small firms

Sue Birley and Paul Westhead

Strategic Management Journal, 1990, vol. 11, issue 7, 535-557

Abstract: This paper studies the interrelationships in the strategic profile of a sample of small firms, and, by using cross‐sectional analysis, attempts to identify any evidence to support the ‘stages of growth’ theories. Three surrogates for comparative growth were used in the analysis: number of employees, sales turnover, and profitability. A cluster analysis identified eight different ‘types’ of small firms characterized by ‘internal’ variables of ownership, management, and product structure; and by ‘external’ variables of product/market positioning. Analysis of variance tests found no significant differences between the clusters with regard to size. The results suggest that firms do change, but not necessarily in any prescribed sequence. Indeed, the evidence presented in this paper suggests that future research should be focused on developing theories which better describe the heterogeneity of the sector by analyzing the development within clusters of firms rather than seeking generalized overarching theories.

Date: 1990
References: Add references at CitEc
Citations: View citations in EconPapers (59)

Downloads: (external link)
https://doi.org/10.1002/smj.4250110705

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:stratm:v:11:y:1990:i:7:p:535-557

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0143-2095

Access Statistics for this article

More articles in Strategic Management Journal from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().