Existing research related to firm growth has not paid sufficient attention to the growth paths of online stores in e-markets. The linkage between growth path and firm size has not been built up. This paper aims to investigate evolutionary trajectories and their effects on firm size. Theoretically, conceptually define three types of distinguishable paths, namely the convergent, tepid, and sustai...

We ask how export demand shocks associated with the Asian financial crisis affected Chinese exporters. We construct firm-specific exchange rate shocks based on the precrisis destinations of firms’ exports. Because the shocks were unanticipated and large, they are a plausible instrument for identifying the impact of exporting on firm productivity and other outcomes. We find that firms whose expo...

Abstract This study distinguishes entrepreneurs’ cognitive financial constraints from supply and assesses their relative importance to small business growth. Drawing the literature on styles institutional theory, we argue that businesses’ derive not only market failures but also factors of entrepreneurs. Analysing a comprehensive dataset more than 200,000 businesses in Vietnam, show both impede...

Using a comprehensive micro dataset spanning the period 1998-2005, this paper provides a systematic investigation of the relationship between financial structure and firm growth in China, controlling for the endogeneity of the former. It finds that financial structure does matter for firm growth in China, although this does not tell the whole story. The relative importance of the different fina...

Why do firm growth and exit rates decline with size? What determines the size distribution of firms? This paper presents a theory of firm dynamics that simultaneously rationalizes the basic facts on firm growth, exit, and size distributions. The theory emphasizes the accumulation of industry specific factors in response to industry specific productivity shocks. The emphasis on the accumulation ...

This paper is concerned with the job creation dynamic of development finance institutions’ (DFI) investments and approaches the topic from two perspectives. Firstly, it reviews the key determinants of firm-level employment growth from general economic literature and examines how they explain job creation in DFI investments. Secondly and more interestingly, the effect of DFI funding itself on fi...

The purpose of this paper is to explore the main determinants of growth in small and medium sized enterprises (SMEs) in central and eastern Europe. The important role played by SMEs in the economic development of central and eastern European (CEE) countries has attracted the recent attention of academics and policymakers but remains relatively unexplored. Empirical research has suggested that f...

This paper contains a review of alternative theories which have been developed in order to explain growth and change in the small manufacturing firm. Models of small-firm growth derived within the industrial economics literature are evaluated together with stage models of growth and stochastic models. Social and psychological perspectives on growth are reviewed and the spatial dimension is also...