 The effect of industry maturity, turnover and competition on firm survival: evidence from Slovenian firmsKatja Zajc Kejžar and Nina Ponikvar Post-Communist Economies, 2014, vol. 26, issue 1, 122-136 Abstract: A complementary log-log firm survival model using a 10-year panel of firm-level data for the Slovenian manufacturing sector during the late transition period provide evidence that firms have a smaller chance of surviving in less concentrated industries with tougher competition, in mature industries characterised by higher industry average firm age and lower net entry rates, and in industries with high turnover rates, indicating low sunk cost and other entry/exit barriers. Observing the hazard functions of various industry groups further suggests that an industry's entry/exit conditions are even more relevant to firm survival than an industry's life-cycle phase. Moreover, a firm's age seems to be of greater importance for its survival during the early stages of the industry's life cycle than in the industry's maturity. Our findings suggest that economic policy measures aimed at providing support for start-up firms will be more efficient in young industries at the formative stage of the life cycle or in entrepreneurial regime industries, and that entry conditions should be the focus of competition policies. Date: 2014 Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:taf:pocoec:v:26:y:2014:i:1:p:122-136 Ordering information: This journal article can be ordered from DOI: 10.1080/14631377.2014.874659 Access Statistics for this article Post-Communist Economies is currently edited by Roger Clarke More articles in Post-Communist Economies from Taylor & Francis Journals |
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