Arriving at the High-Growth Firm

Posted: 24 Nov 2009

See all articles by Per Davidsson

Per Davidsson

Queensland University of Technology - Brisbane Graduate School of Business

William B. Gartner

Copenhagen Business School; Clemson University - College of Business and Behavioral Science

Date Written: 2003

Abstract

This article examines a variety of ideas, measures, and empirical facts on how organizations grow. Organizational growth can be achieved in a number of ways; the pattern of firm growth over time can vary across all growth firms. The research analyzed Swedish firms with more than 20 employees for 1987 to 1996. The data allow assessment in growth in sales and employment, separation of organic growth from acquired growth, identification of new entrants, comparison of independence firms with firms in company groups, and tracking subsequent growth over time. Nineteen measures of firm growth were used to identify seven clusters, which were designated patterns of firm growth. The analysis found that firm size, firm age, and industry had a strong relationship to differences among the clusters and that ownership (governance) had a moderate relationship to the seven growth patterns. The differential representation of these growth patterns for firms of different demographic affiliation in terms of firm size, firm age, industry, and ownership/governance was also explored. High-growth firms do not all grow in the same way; recognizing this heterogeneity is important for scholars and practitioners.(TNM)

Keywords: Industry affiliation, Experimental/primary research, Firm age, Firm growth, Firm size, Firm growth

Suggested Citation

Davidsson, Per and Gartner, William B., Arriving at the High-Growth Firm (2003). Journal of Business Venturing, Vol. 18, Issue 2, p. 189-216 2003. Available at SSRN: https://ssrn.com/abstract=1511024

Per Davidsson

Queensland University of Technology - Brisbane Graduate School of Business ( email )

Brisbane
Australia
+61 7 3864 2051 (Phone)
+61 7 3864 1299 (Fax)

HOME PAGE: http://www.qut.edu.au/ph_server_query.do

William B. Gartner

Copenhagen Business School

Department of Management, Politics and Philosophy
Porcelaenshaven 18B
Frederiksberg C, DK - 2000
Denmark

Clemson University - College of Business and Behavioral Science ( email )

345 Sirrine Hall
Clemson, SC 29634
United States

HOME PAGE: http://www.clemson.edu/cbbs/faculty-staff/profiles/profile.html?userid=GARTNER

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