Ownership and High-Growth Firms

Carl Magnus Bjuggren, Sven-Olov Daunfeldt and Dan Johansson

No 147, Ratio Working Papers from The Ratio Institute

Abstract: Empirical studies demonstrate that most net job-growth originates from a small number of high-growth firms (HGFs). The purpose of this paper is to analyze whether firm ownership – family, or private non-family – matters for being a HGF, using data covering all firms in Sweden during 1993-2006. Firm growth is measured in terms of absolute employment growth, relative employment growth and as a combination of absolute and relative employment growth (the so-called Birch-index). We find that family ownership decreases the probability of exhibiting high growth. Changing ownership from family to private non family increases the probability of being a HGF, whereas a change from private non-family to family ownership decreases the probability of being a HGF. The results are robust, irrespective of measurement of firm growth, suggesting that ownership and changes in ownership are important determinants of rapid firm growth.

Keywords: high-growth firms; gazelles; firm growth; firm ownership; family firms; rapid firm growth (search for similar items in EconPapers)
JEL-codes: D24 L25 L26 (search for similar items in EconPapers)
Pages: 24 pages
Date: 2010-02-01, Revised 2010-09-29
New Economics Papers: this item is included in nep-bec, nep-cse, nep-ent and nep-sbm
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (12)

Downloads: (external link)
http://ratio.se/app/uploads/2014/11/sod_dj_cmb_ownership_147.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://ratio.se/app/uploads/2014/11/sod_dj_cmb_ownership_147.pdf [308 Permanent Redirect]--> https://ratio.se/app/uploads/2014/11/sod_dj_cmb_ownership_147.pdf)

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:ratioi:0147

Access Statistics for this paper

More papers in Ratio Working Papers from The Ratio Institute The Ratio Institute, P.O. Box 5095, SE-102 42 Stockholm, Sweden. Contact information at EDIRC.
Bibliographic data for series maintained by Martin Korpi ().