New Business Formation and Incumbents’ Perception of Competitive Pressure

B-Tier
Journal: Review of Industrial Organization
Year: 2020
Volume: 56
Issue: 1
Pages: 165-197

Authors (2)

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Abstract We investigate the relationship between new business formation and the level of competitive pressure that is perceived by manufacturing incumbent establishments. The perceived pressure of competition is stronger when entry in the respective industry is higher. This relationship holds not only for start-ups that are located in the same region of the incumbent, but also for start-ups across all regions of Germany. Additionally, we find that particularly small, low-productivity incumbents—as well as incumbents that are located in highly populated regions—are more likely to associate new business formation with high levels of competitive pressure. We also identify other incumbent characteristics that influence the overall level of perceived competitive pressure.

Technical Details

RePEc Handle
repec:kap:revind:v:56:y:2020:i:1:d:10.1007_s11151-019-09699-1
Journal Field
Industrial Organization
Author Count
2
Added to Database
2026-01-25