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High-tech start-up firm survival originating from a combined use of internal resources

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Abstract

Although various streams in the existing literature on the resource-based view (RBV) of the firm argue that firm survival and performance can benefit from a combined use of internal resources, relatively limited empirical evidence is provided that supports this argument. To fill this gap in the literature, in this article, we focus on how combinations of internal resources affect the survival chance of technology-based start-ups by using a unique dataset from a high-tech park in Beijing, China. Empirical results show that firms’ interconnected internal resources exert a significant influence on these firms’ survival chance. Our findings imply that the survival of new technology-based start-ups benefits from the synergetic effect of combining resources. In detail, the data support the hypothesis that the combined use of R&D resources, internal financial resources, and scientifically skilled employees, as posited by the RBV, has an amplifying effect on the chances to survive of high-tech start-ups.

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Authors and Affiliations

  1. Faculty of Sciences, Section of Science, Business & Innovation, Vrije Universiteit Amsterdam, 1081 HV, Amsterdam, Netherlands

    Chun Yang & Bart Bossink

  2. Institute of Science, Technology and Society, School of Social Sciences, Tsinghua University, Beijing, 100084, People’s Republic of China

    Chun Yang

  3. Amsterdam Business Research Institute, Vrije Universiteit Amsterdam, 1081 HV, Amsterdam, Netherlands

    Peter Peverelli

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  1. Chun Yang
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Correspondence to Chun Yang.

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Yang, C., Bossink, B. & Peverelli, P. High-tech start-up firm survival originating from a combined use of internal resources. Small Bus Econ 49, 799–824 (2017). https://doi.org/10.1007/s11187-017-9858-6

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