Firm growth in the Swedish energy sector: Will large firms become even more dominant?

Zuzana Macuchova, Niklas Rudholm () and Aili Tang
Additional contact information
Zuzana Macuchova: Dalarna University, Postal: SE-791 88 Falun, Sweden
Niklas Rudholm: HUI Research, Postal: SE-103 29 Stockholm, Sweden and Dalarna University, SE-791 88 Falun, Sweden
Aili Tang: Dalarna University, Postal: SE-791 88 Falun, Sweden

No 104, HUI Working Papers from HUI Research

Abstract: This paper examines the determinants of firm growth in the Swedish energy sector using a sample of 200 energy firms active from 2000 to 2010. The article has two aims. First, we want to investigate whether there is reason to believe that the Swedish energy market will become more concentrated in the future, dominated by just a few firms. That would be the result if, for example, large firms systematically and over time grew faster than did smaller firms in the Swedish market. Second, we want to investigate whether firm growth can mainly be explained by firm-specific variables, supporting Penrose’s (1959) suggestion that internal resources are the key determinants of firm growth rates. To this end, quantile regression is used in addition to ordinary least squares regression, to provide a more complete estimation of the growth distribution of firms conditional on different attributes. The results indicate that large firms do not grow faster than do other firms in the sector, and that energy firms’ internal resources are indeed the key determinants of firm growth in the Swedish energy industry.

Keywords: Market power; energy market regulation; energy market competition; quantile regression; competition policy (search for similar items in EconPapers)
JEL-codes: L11 L25 L26 L94 (search for similar items in EconPapers)
Pages: 23 pages
Date: 2014-05-15
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.hui.se/BinaryLoader.axd?OwnerID=3a57705 ... .pdf&Attachment=True (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://www.hui.se/BinaryLoader.axd?OwnerID=3a577059-d869-4d1b-bff1-5673eefc3461&OwnerType=0&PropertyName=EmbeddedFile_c0c6dbe0-8591-49ae-b5e5-af5fbb4b11a8&FileName=HUIwp104.pdf&Attachment=True [301 Moved Permanently]--> https://www.hui.se/BinaryLoader.axd?OwnerID=3a577059-d869-4d1b-bff1-5673eefc3461&OwnerType=0&PropertyName=EmbeddedFile_c0c6dbe0-8591-49ae-b5e5-af5fbb4b11a8&FileName=HUIwp104.pdf&Attachment=True [301 Moved Permanently]--> https://hui.se/BinaryLoader.axd?OwnerID=3a577059-d869-4d1b-bff1-5673eefc3461&OwnerType=0&PropertyName=EmbeddedFile_c0c6dbe0-8591-49ae-b5e5-af5fbb4b11a8&FileName=HUIwp104.pdf&Attachment=True)

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:hhs:huiwps:0104

Access Statistics for this paper

More papers in HUI Working Papers from HUI Research Handelns Forskningsinstitut, c/o HUI Research, Regeringsgatan 60, 103 29 Stockholm, Sweden. Contact information at EDIRC.
Bibliographic data for series maintained by Hans Seerar Westerberg ().