Small Firm Survival and Technological Activity

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The paper investigates the post entry performance of small firms competing under different technological environments. Small firm survival is compared over technical and non-technical products and over stages of differing technological activity. The empirical results, in the context of the product life-cycle framework, show that small firms enjoy a higher probability of survival in stages of high technological activity, and in products that are more technical in nature. Technological activity is also seen to affect the shape of the hazard rate function, implying that the relation between technological activity, age and small firm survival may be complex.

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