nep-sbm New Economics Papers
on Small Business Management
Issue of 2014‒08‒02
six papers chosen by
João Carlos Correia Leitão
Universidade da Beira Interior

  1. Cooperation between Russian research organizations and industrial companies: factors and problems By Simachev, Yuri; Kuzyk, Mikhail; Feygina, Vera
  2. Regional structural change and small firms’ adaptabilities: Evidence from Italian firm-level data. By Paolo Seri; Tommaso Ciarli
  3. The Significance of Business Exit for Future Entrepreneurial Activity By Albiol, Judit
  4. La aparente revolución del emprendimiento en Chile. Una perspectiva espacial. By Miguel Atienza; Marcelo Lufin; Gianni Romani
  5. Capital Market Financing, Firm Growth, Firm Size Distribution By Tatiana Didier; Ross Levine; Sergio L. Schmukler
  6. Regional determinants of firm entry in a developing country By Calá, Carla Daniela; Manjón Antolín, Miguel C.; Arauzo Carod, Josep Maria

  1. By: Simachev, Yuri; Kuzyk, Mikhail; Feygina, Vera
    Abstract: The study is focused on the cooperation of Russian companies with research organizations in implementing R&D projects during technological innovation. Taking into account behavioral changes, authors carry out a micro-level analysis based on empirical data of executive survey of over 600 Russian industrial firms (2011—2012) and about 350 research organizations and universities (2012). The authors emphasize the key factors of firms’ demand for outsourcing R&D reveal the main barriers to the development of university-industry cooperation and their particularities for different cooperation actors. The analysis shows that there is a positive relation between the size of a company and R&D outsourcing. As for the factor of age, the highest cooperation activity of Russian firms is observed among enterprises founded over 20 years ago. As far as concernes cooperation activity of research organizations, large ones are significantly more likely to cooperate with business. A common prerequisite for research organizations' R&D cooperation with business is sufficient academic ranking. Business and science evaluate differently various obstacles to effective cooperation. For firms, the main problems are the inflated costs of national R&Ds, insufficient research organizations’ orientation at company needs, and low quality of developments. As for representatives of research organizations, they mention as barriers primarily the lack of companies' receptivity to innovation and inadequate information about promising developments. Businesses are more optimistic about cooperation with science if they already have a relevant experience of interaction. In the case of research organizations we observe a different pattern: most problems seem more significant to organizations conducting R&D in business interests.
    Keywords: innovations; university-industry cooperation; barriers to research and development; firm behavior
    JEL: L20 O31 O32
    Date: 2014–07
  2. By: Paolo Seri (Department of Economics, Society & Politics, Università di Urbino "Carlo Bo"); Tommaso Ciarli (SPRU - Science Policy Research Unit)
    Abstract: The paper analyzes both internal (to the firm) and external (geographical) determinants and obstacles to small firms’ relational and organizational adaptability in mature Italian industries. While presenting a review of the literature accounting for the two dominant typologies of adaptation in Italian mature industries, the chapter emphasizes the lack of systematic analysis on the influences of negative agglomeration externalities on both typologies of small firms’ adaptability. The empirical section distinguishes between district and non-district firms and controls for internal and external determinant to firms adaptabilities. Some interesting results follows regarding the influences played by Italian industrial districts.
    Keywords: Regional Structural Change, Firms Behaviour, Cognitive Anchoring.
    JEL: R11 D21 D22
    Date: 2014
  3. By: Albiol, Judit
    Abstract: Purpose: The purpose of this paper is to analyse the impact of business exits on future dimensions of entrepreneurial activity at the macroeconomic level. Design/methodology/approach: This research uses the Global Entrepreneurship Monitor (GEM) data for 41 countries and the Generalized Method of Moments (GMM) to carry out the analysis. The paper differentiates the effect of the two components of total entrepreneurial activity, and the two motivations for it – opportunity and necessity entrepreneurship. Findings: The results presented here show a positive and significant effect of the coefficient associated with exits in all models. This means that the levels of entrepreneurial activity exceed business exits. The robustness of the models are tested, including other variables such as the fear of failure, the Gross Domestic Product, role models, entrepreneurial skills and the unemployment variables. The main hypothesis which stated that at national level business exits imply greater rates of opportunity-driven entrepreneurship is corroborated. Originality/value: One would expect that unemployment rates would imply higher levels of necessity entrepreneurship. However, results show that unemployment rates do in fact favour opportunity entrepreneurship levels. This could be due to those government policies that are aimed at promoting entrepreneurship through the capitalization of unemployment to be totally invested in a new start-up. To the best of our knowledge, this is the first panel data study to link previous exit rates to future dimensions of entrepreneurial activity. Keywords: Entrepreneurship, business exits, social values, industrial organization Paper type: Research paper
    Keywords: Emprenedoria, Èxit en els negocis, Empreses -- Aspectes socials, Organització industrial, 338 - Situació econòmica. Política econòmica. Gestió, control i planificació de l'economia. Producció. Serveis. Turisme. Preus, 65 - Gestió i organització. Administració i direcció d'empreses. Publicitat. Relacions públiques. Mitjans de comunicació de masses,
    Date: 2014
  4. By: Miguel Atienza (IDEAR - ORDHUM - Department of Economics, Universidad Católica del Norte - Chile); Marcelo Lufin (IDEAR - ORDHUM - Department of Economics, Universidad Católica del Norte - Chile); Gianni Romani (Departamento de Administración, CEMP, Universidad Católica del Norte - Chile)
    Abstract: The promotion of entrepreneurship has become one of the main policies of the Chilean development strategy in the last decade and has been considered as a means to improve local development. The government declared as a success the creation of 250,000 new firms in the last four years. This article uses an occupational definition of entrepreneurship to analyze the scope of this apparent revolution and its location patterns in 2009 and 2011 with information from the Socioeconomic Characterization Survey (CASEN). The results show that it is not appropriate to talk about an entrepreneurship revolution in Chile. Furthermore, the analysis of spatial patterns and entrepreneurship clusters reveals high heterogeneity among local areas according to the characteristics of their entrepreneurs. In this context, national entrepreneurship policies exclusively oriented to the increase in the number of firms could perpetuate spatial inequality.
    Keywords: entrepreneurship, location, regional and local development.
    Date: 2014–07
  5. By: Tatiana Didier; Ross Levine; Sergio L. Schmukler
    Abstract: Which firms issue equity and debt in domestic and international markets and what happens to their assets, sales, and number of employees? To answer these questions, we assemble a new dataset on firm-level capital raising activity during 1991-2011, which we match with firm attributes for 45,527 listed firms from 51 economies during 2003-2011. We find that only a few of the largest firms issue securities in the median country. Firms issuing bonds are even larger than those issuing equity. Moreover, issuers grow much faster than non-issuers, particularly (a) during the year of issuance, (b) among smaller and younger firms, and (c) in countries with market-based financial systems. Furthermore, the firm size distribution (FSD) of issuers behaves differently from that of non-issuers. Among issuers, smaller firms grow faster than larger ones, tightening their FSD; but among non-issuers, larger firms grow faster than smaller ones, widening their FSD.
    JEL: G15 G30 L25
    Date: 2014–07
  6. By: Calá, Carla Daniela; Manjón Antolín, Miguel C.; Arauzo Carod, Josep Maria
    Abstract: We analyse the determinants of firm entry in developing countries using Argentina as an illustrative case. Our main finding is that although most of the regional determinants used in previous studies analysing developed countries are also relevant here, there is a need for additional explanatory variables that proxy for the specificities of developing economies (e.g., poverty, informal economy and idle capacity).We also find evidence of a core-periphery pattern in the spatial structure of entry that seems to be mostly driven by differences in agglomeration economies. Since regional policies aiming to attract new firms are largely based on evidence from developed countries, our results raise doubts about the usefulness of such policies when applied to developing economies. JEL classification: R12, R30, C33. Key words: Firm entry, Argentina, count data models.
    Keywords: Empreses -- Creació, Argentina -- Condicions econòmiques, Economia regional, Localització industrial, Països en vies de desenvolupament, Anàlisi de dades de panel, Sèries temporals -- Anàlisi, 332 - Economia regional i territorial. Economia del sòl i de la vivenda,
    Date: 2014

This nep-sbm issue is ©2014 by João Carlos Correia Leitão. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.