|
on Entrepreneurship |
| By: | Igor Fedotenkov; Anneleen Vandeplas |
| Abstract: | Populations across the European Union are ageing. While concerns have been raised that ageing may reduce business dynamism, and, consequently, economic growth, this hypothesis has not yet been tested empirically in an EU context. To address this gap, this paper investigates the relationship between demographic structure and firm entry rates in the European Union. The results suggest that the size of the 30-44 age group has the strongest positive effect on firm entry. Alternative estimation methods and the inclusion of control variables do not change this conclusion. It is in line with the notion that age has a hump-shaped effect on the propensity to engage in entrepreneurship. In addition, younger age cohorts are found to exert a more negative impact on firm entry than older age cohorts. Rising educational attainment may partially offset the adverse effects of demographic ageing on business dynamism in the years ahead |
| JEL: | D22 J11 J15 L29 M13 |
| Date: | 2026–06 |
| URL: | https://d.repec.org/n?u=RePEc:euf:dispap:251 |
| By: | Colombo, Massimo G.; Füner, Lena; Guerini, Massimiliano; Hottenrott, Hanna; Souza, Daniel |
| Abstract: | This policy brief examines entrepreneurial ecosystems in France, Germany, and the United Kingdom using data on more than nine million firm births between 2009 and 2023. The study aims to assess both the quantity of start-ups and their quality, measured by their potential to become scale-ups. By analyzing regional patterns of entrepreneurship, the research provides new insights into Europe's competitiveness and the factors that influence entrepreneurial success. A key finding is that all three countries display considerable unrealized scale-up potential. While many firms exhibit characteristics associated with future growth, the number that achieve large-scale expansion falls short of expectations. This suggests that barriers to growth have become increasingly important in recent years. The study also highlights remarkable regional differences. Entrepreneur ial activity in France is concentrated in major metropolitan areas such as Paris, Lyon, and Marseille. In the United Kingdom, London ranks first in terms of start-up quantity, while Cambridge and Oxford stand out for their high entrepreneurial quality. Germany presents a more decentralized pattern, with Munich emerging as a leading hub, but also research-intensive regions such as Heidelberg and Bonn showing strong performance. Unlike in the United States, where the relationship between the number of start-ups and the quality of entrepreneurship is relatively weak, European regions that generate more start-ups also tend to produce more high-quality firms. This suggests that policies encouraging entrepreneurial entry can simultaneously im prove growth outcomes. |
| Date: | 2026 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:zewpbs:341974 |
| By: | Salayeva, Guli; Reyimberganov, Baxrom |
| Abstract: | This paper investigates barriers preventing small and medium enterprises from adopting digital technologies for green business models in transition economies. A survey of 385 SME owners across Uzbekistan, Kazakhstan, and Kyrgyzstan was conducted. Factor analysis identifies five barrier dimensions, and logistic regression reveals that financial constraints and human capital deficits are the strongest predictors of non-adoption. Recommendations for targeted policy interventions are provided |
| Date: | 2026–06–25 |
| URL: | https://d.repec.org/n?u=RePEc:osf:socarx:sfrkp_v1 |
| By: | DADAKPETE, David; DOSSA, Moïse |
| Abstract: | Often described as a powerful strategy in inter-firm competition, innovation remains a timeless topic in economics. Although a large body of empirical literature finds evidence for an “innovation premium” (Cefis and Marsili, 2005) associated with better survival prospects for firms, numerous studies highlight the inherent risks associated with innovation activity, which could shorten a firm’s market longevity ("liability of innovativeness"(Deng et al., 2014)). This paper investigates whether the “innovation premium” or “liability of innovativeness” prevails among young French firms during their first five years. According to our estimates, the two effects seem to offset each other in most cases. Indeed, for three (process, product, organization) of the four types of innovation considered, no significant effect on firm survival is observed. However, for marketing innovation, the “liability of innovativeness” appears to prevail. Our estimates suggest that firms introducing marketing innovation upon market entry face an 11.3% higher risk of closure. |
| Keywords: | Innovation, Firm survival, Duration models |
| JEL: | L25 L26 O3 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:127936 |
| By: | Aykut Sengul; Abdullah Kursat Merter |
| Abstract: | The present study documents the conditional association between corporate leverage and firm employment growth using an economy-wide administrative panel of nearly one million Turkish firms over the 2009–2023 period. Drawing on 6.8 million firm-year observations and multi-dimensional fixed effects, we report four principal patterns. First, firm age and size are negatively associated with employment growth, while asset tangibility, liquidity, profitability, and export orientation are positively associated with it. Second, the leverage–growth association follows an asymmetric inverted-U pattern, and this non-linearity is most pronounced for short-term and trade-credit-intensive liabilities rather than long-term financial debt. Third, the point at which the association turns negative varies substantially across sectors: it occurs at higher leverage levels in energy & mining, trade, and services, and at considerably lower levels in construction. Fourth, the 2018 currency crisis coincides with a leftward shift in this association, with moderate leverage becoming less positively associated with growth and high leverage becoming more negatively associated with it. The paper's contribution lies in documenting these patterns at an unusually comprehensive scale — covering the entire Turkish corporate universe — and in showing how they vary by debt composition, sector, and macroeconomic conditions. |
| Keywords: | Leverage, Debt overhang, Firm growth, SMEs, Manufacturers, Exporters, Emerging markets |
| JEL: | G32 L25 O16 E44 |
| Date: | 2026 |
| URL: | https://d.repec.org/n?u=RePEc:tcb:wpaper:2612 |