Small Business Economics

, Volume 32, Issue 1, pp 45–56

Succession and firm growth: results from a non-parametric matching approach

  • Denise Sandra Diwisch
  • Peter Voithofer
  • Christoph R. Weiss
Article

DOI: 10.1007/s11187-007-9072-z

Cite this article as:
Diwisch, D.S., Voithofer, P. & Weiss, C.R. Small Bus Econ (2009) 32: 45. doi:10.1007/s11187-007-9072-z

Abstract

The article analyses the relationship between succession and firm performance. Applying a non-parametric matching approach on a panel of roughly 4,000 Austrian family firms we evaluate the impact of actual (past) succession as well as planned (future) successions on employment growth. Analysing succession plans, we do not find a significant difference in employment growth between firms that plan to transfer the firm in the next 10 years and those who do not. In contrast, past succession exerts a significant and positive employment growth effect, which becomes stronger over time.

Keywords

SuccessionFamily firmsEmployment growthMatchingAustria

JEL Classification

C14L25L26

Copyright information

© Springer Science+Business Media, LLC 2007

Authors and Affiliations

  • Denise Sandra Diwisch
    • 1
  • Peter Voithofer
    • 2
  • Christoph R. Weiss
    • 1
  1. 1.Department of EconomicsVienna University of Economics and Business AdministrationViennaAustria
  2. 2.Austrian Institute for SME ResearchViennaAustria