Growth of new start-up firms: evidence from the Japanese manufacturing industry

Yuji Honjo

Applied Economics, 2004, vol. 36, issue 4, 343-355

Abstract: This study investigates firm growth as the post-entry performance of new start-up firms. Using data on Japanese manufacturing firms founded during 1992-1996, the determinants of growth are identified among new start-up firms. The effect is examined, not only of firm-specific characteristics but also of entrepreneur-specific, industry-specific and local characteristics on firm growth. It is found that younger and small-sized firms are more likely to grow among the start-ups. It is also found that entrepreneur's age and educational background affect the growth of start-ups. It is not shown, however, that industry specialization induces the growth of start-ups.

Date: 2004
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DOI: 10.1080/00036840410001674277

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