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This paper aims to investigate the impact of industrial robotics, examining the process integration in a sample of +600 companies located in the Province of Brescia, an intensive industrial area in the North of Italy. Through a detailed economic investigation, this study analyses the adoption of robotic solutions in companies of varying sizes, using a survey and financial databases to investigate the most used types of robots, their applications, the impacts at the operational and personnel level, and the companies' growth (sales, employees, other). The results highlight a significant presence of robotic solutions, particularly articulated robots, in the large companies involved. Robotics diffusion positively correlates with significant improvements in terms of productivity and quality. The introduction of robots is associated with increased corporate growth indicators, including staff expansion. Large companies demonstrate a superior ability to adapt to these technologies, supported by more significant financial resources and a wide range of internal competencies for managing robots. Furthermore, large companies proactively hire qualified personnel or initiate internal training courses. Small and medium-sized enterprises (SMEs), although currently less equipped with robotic technologies, exhibit a significant interest in future adoption, highlighting the opportunity for growth and innovation. The results suggest that integrating robotics in the manufacturing sector not only constitutes an effective means to enhance operational performance but also acts as a catalyst for developing human capital and strengthening the local economy. [ABSTRACT FROM AUTHOR]

This study aims to examine the relationship between firm size and firm growth in Vietnam. The literature does not in general give support to Gibrat's law stating that the expected increase in firm size is proportionate to its initial size, or that firm growth rates are independent of firm size. The present study relies on a sample of 578 listed Vietnamese companies representing eight different industries and covering the period 2010 to 2020. The analysis reveals that growth in firm revenues does not give support to a hypothesis of independence of initial firm sizes. When the firm size is measured by total assets the opposite result appears, i.e. the Gibrat's law is not rejected. When including also the age of the firms in the test methodology the conclusion will be that firm growth—measured by revenue or assets—in all cases will decrease with firm size. [ABSTRACT FROM AUTHOR]

This study analyses persistence in growth rates for a data set of manufacturing firms of all sizes. Previous quantile autoregressions of firm growth rates show that extreme growth events are likely to be negatively correlated over time, thus questioning the existence of persistent outperformers. By supplementing the quantile regression analyses with transition probability matrices, our study shows that “bouncing” firms coexist with persistent outperformers. This result is shown to be robust for all size classes as well as for the exclusion of firms who experienced acquisitions or spin-offs. [ABSTRACT FROM PUBLISHER]

Based on a three-equation model for initial firm size, survival, and firm growth we estimate firm-specific transition probabilities between size classes of the firm size distribution. This allows to analyze counterfactual scenarios that assess the impact of changes in exogenous variables on the intra-distribution dynamics of the firm size distribution. We find that a counterfactual decrease in average firm age increases the exit hazard of young firms, and at the same time reduces the probability of observing high-growth firms. An increase in the industry-wide entry rate and an increase in market growth, by contrast, have virtually no impact on the intra-distribution dynamics of the firm size distribution. Finally, a larger birth size increases the probability for the youngest and smallest firms to become high-growth firms. [ABSTRACT FROM PUBLISHER]

About one-half of all startups fail within five years, and those that survive grow at vastly different speeds. Using Census microdata, we estimate that most of these differences are determined by ex ante heterogeneity rather than persistent ex post shocks. Embedding such heterogeneity in a firm dynamics model shows that the presence of ex ante heterogeneity (i) is a key determinant of the firm size distribution and firm dynamics, (ii) can strongly affect the macroeconomic effects of firm-level frictions, and (iii) helps understand the recently documented decline in business dynamism by showing a disappearance of high-growth startups ("gazelles") since the mid-1980s. (JEL D22, D24, E24, J23, L11, M13) [ABSTRACT FROM AUTHOR]

This paper analyzes the impact of the European Union's Cohesion Policy on firm growth in the programming period 2007–13 in seven European countries. Results show that Cohesion Policy support promotes firm growth in size (value added and employment) more than in productivity. However, even when the policy is the same and similar projects and beneficiaries are considered, its effectiveness varies across different territorial contexts, among but also within countries. In several cases, the impact of grants on firm growth is larger in regions with lower income or scant endowments of territorial assets, most likely because firms in those regions cannot rely on external assets. [ABSTRACT FROM AUTHOR]

This article studies a dynamic model of an industry life cycle based on increasing returns in the cost of growth whereby large firms can grow more easily. When there are strong increasing returns in the adjustment cost function, the model exhibits multiple rest points, and firms do not necessarily all end up in the same state. The model generates typical life cycle stages including a shakeout. The likelihood of survival is positively correlated with the entering size, an implication that fits empirical findings that exiting firms are small not only just prior to exit but also at the time of entry. The model also explains newer findings on the evolution of moments, an increase in the skewness and the spread of firm-size distribution before the shakeout and a decline in these with the start of the shakeout. [ABSTRACT FROM PUBLISHER]

This study considers the effects of (i) ownership structure, (ii) prior size dynamics of growth and decline, and (iii) organizational size on changes in the formal structure of organizations. Using a broad sample of almost 70,000 US public and private firms, I test the arguments by estimating conditional logistic regressions using as dependent variables two dimensions of organizational structural differentiation: the number of formal subunits and hierarchical levels. The findings show that public firms are more likely to elaborate structurally, but less likely to simplify their structural differentiation. As organizations grow/decline in size, they apparently tend to increase/decrease their degree of structural differentiation. However, for a given change in size, the level of structural differentiation is less likely to increase during growth than it is to decrease during decline, indicating an asymmetric pattern. I also find that organizational size can serve as a facilitator or inhibitor for structural change, depending on the direction of change. Finally, I find that the asymmetric pattern of growth and decline works differently for large and small firms. The same proportional increase in size is more likely to generate structural differentiation for larger firms than for smaller firms. But the same proportional decrease in size has a smaller likelihood of causing structural de-differentiation for larger firms than for smaller firms. [ABSTRACT FROM AUTHOR]

Using a unique firm-level survey database covering 54 countries, we investigate the effect of financial, legal, and corruption problems on firms' growth rates. Whether these factors constrain growth depends on firm size. It is consistently the smallest firms that are most constrained. Financial and institutional development weakens the constraining effects of financial, legal, and corruption obstacles and it is again the small firms that benefit the most. There is only a weak relation between firms' perception of the quality of the courts in their country and firm growth. We also provide evidence that the corruption of bank officials constrains firm growth. [ABSTRACT FROM AUTHOR]

We find that institutional ownership concentration is positively related to the pay-for-performance sensitivity of executive compensation and negatively related to the level of compensation, even after controlling for firm size, industry, investment opportunities, and performance. These results suggest that the institutions serve a monitoring role in mitigating the agency problem between shareholders and managers. Additionally, we find that clientele effects exist among institutions for firms with certain compensation structures, suggesting that institutions also influence compensation structures through their preferences. [ABSTRACT FROM AUTHOR]

This study develops a model grounded in the contingency theory (i.e., context-structure-performance) applicable to Chinese state-owned enterprises (SOE). Using data from a sample of 205 industrial SOEs, the study shows that SOE growth performance relative to the industry is positively predicted by formal control, inversely predicted by decentralization, and positively predicted by the interaction of the two. Customer product knowledge utilization, unrelated to growth performance relative to the industry, is positively predicted by formal control and the interaction of formal control with decentralization. Foreign induced industry competitiveness, technological turbulence, size, and production technology routineness are treated as context variables and modeled accordingly. [ABSTRACT FROM AUTHOR]

Over the past decade, several studies have questioned the stage models of the internationalization process. Many of these studies concentrate on the exporting versus nonexporting factor, identifying an increasing number of firms that are active in international markets shortly after establishment. Limited empirical evidence exists as to whether this actuality indicates simply a reduced time factor in the preexport phase or an important change in the export behavior of firms. Using small and medium-sized exporting firms from Norway, Denmark, and France, the authors focus on the concept of gradual development. The results suggest that export intensity, distribution, market selection, and global orientation are not influenced by the firm's year of establishment or first year of exporting activity. One-third of the firms sampled reported that the time period between establishment and export commencement was less than two years. In terms of export intensity, these firms outperform those that waited several years before exporting. The results indicate that the future export involvement of a firm is, to a large extent, influenced by its behavior shortly after establishment. The results further indicate that the development of resources in support of international market competitiveness may be regarded as the key issue and that the basic resources and competencies of the firm are determined during the establishment phase. The authors review how the management challenges differ depending on the type of firm (age and export involvement) in question. [ABSTRACT FROM AUTHOR]

Batch servicing is a common way of benefiting from economies of scale in manufacturing operations. Good examples of production systems that allow for batch processing are ovens found in the aircraft industry and in semiconductor manufacturing. In this paper we study the issue of dynamic scheduling of such systems within the context of multi-stage flow shops. So far, a great deal of research has concentrated on the development of control strategies, which only address the batch stage. This paper proposes an integral scheduling approach that also includes succeeding stages. In this way, we aim for shop optimization, instead of optimizing performance for a single stage. Our so-called look-ahead strategy adapts its scheduling decision to shop status, which includes information on a limited number of near-future arrivals. In particular, we study a two-stage flow shop, in which the batch stage is succeeded by a serial stage. The serial stage may be realized by a single machine or by parallel machines. Through an extensive simulation study it is demonstrated how shop performance can be improved by the proposed strategy relative to existing strategies. [ABSTRACT FROM AUTHOR]

Research in entrepreneurship and life cycle theories of the firm have both suggested that new ventures may outgrow the managerial capabilities of their founding teams, at which point the founders may be replaced by professional managers. This study explored factors affecting founder departure. Results indicate that founder departure increases with firm size, decreases with founder ownership and board membership, and has a U-shaped relationship with firm growth. Founders who work in research and development or who are chief executives are also less likely to leave. [ABSTRACT FROM AUTHOR]

We compare the survival of new domestic and foreign-owned firms. We analyze the determinants of the survival of new firms and investigate whether foreignness accounts for significant differences in the survival of new foreign and new domestic firms. We find survival to be determined by ownership advantages, size and growth strategies, the internal organization of firms, and by industry characteristics such as economies of scale, and industry entry and growth. After controlling for these characteristics, we find that domestic and foreign firms do not exhibit different chances for survival, that they respond in similar fashions to the determinants of survival and display identical time patterns of exit. [ABSTRACT FROM AUTHOR]

Much of the literature dedicated to the analysis of entry timing decisions has been devoted to the study of their consequences in terms of performance. However, only a limited amount of effort has been dedicated to analyzing the factors that determine these decisions. In addition, previous papers have centered their efforts on the product dimension, paying no attention to entry into new geographical markets. This paper departs from previous works in this respect and extends the entry timing literature through a consideration of the geographical side of entry. Our analysis shows that organizational size, organizational competence, and organizational experience appear as key factors when explaining the pattern of geographic diversification. Our results also indicate that diversification takes place sequentially, first proceeding to closer locations, then occupying markets further from the origin. [ABSTRACT FROM AUTHOR]

Abstract Despite the significance of converging markets as a new competitive paradigm to change how organizations function and produce value, little attention has been devoted to investigating the evolutionary path of market convergence and understanding the potential of its market development in the future. In this paper, the extent to which the biotechnology industry shows tendencies to converge with adjacent market segments is explored. By taking both a retrospective and forward-looking perspective, the study intends to shed light on the dynamics of the convergent evolution beyond the mere technological dimension. Based on the real-world examples of M&A transactions, an M&A interaction network was constructed to analyze the dynamics of market convergence and to visualize the causal relationships among market segments by using the DEMATEL approach. Furthermore, a link prediction algorithm was applied to predict future converging patterns. By simultaneously considering the past and imagining the future, the study offers a holistic, intuitive understanding of the interrelationships of the entire network. The findings show that the technology convergence has evolved into market convergence. The proposed framework can provide input for decision makers for effective R&D planning to anticipate developments and to coordinate the related activities. Highlights • A structured approach to investigate the evolutionary path of market convergence is proposed. • Technology convergence has evolved into market convergence. • Software and service-based firms act as both convergence trigger and convergence receiver in the biotechnology industry. [ABSTRACT FROM AUTHOR]

Studies measuring barriers to firm growth assume economies are closed, ignoring information on firm exports. We argue that this information is key to interpreting data and improving the accuracy of model predictions. To do this, we develop a dynamic model with export and domestic barriers. We show theoretically that the closed economy model underestimates barriers and amplifies counterfactuals. By calibrating the model to a set of European countries, we find that the quantitative difference is significant: for example, the closed economy model fails to see that Italian firms are very efficient exporters but poor innovators, and instead concludes that they are mediocre innovators. In terms of predictions, the closed economy model delivers an elasticity of welfare to innovation costs between 31 and 64 percent larger than the open economy model. [ABSTRACT FROM AUTHOR]

In many developing countries, the average firm is small, does not grow, and has low productivity. Lack of market integration and limited information on non-local products often leave consumers unaware of the prices and quality of non-local firms. They therefore mostly buy locally, limiting firms' potential market size (and competition). We explore this hypothesis using a natural experiment in the Kerala boat-building industry. As consumers learn more about non-local builders, high-quality builders gain market share and grow, while low-quality firms exit. Aggregate quality increases, as does labor specialization, and average production costs decrease. Finally, quality-adjusted consumer prices decline. (JEL D22, D83, L15, L25, L62, O12, O14) [ABSTRACT FROM AUTHOR]

The article reports on economies of scale and scope in credit union industry extending previous economic models. The model has a multi-product cost function and represents credit union outputs with three specific variables: mortgage lending, non-mortgage lending, and investments which exceed the minimum liquidity requirements. Inputs in the model include capital, labor, and demand deposits as well as their associated prices. Calculating incremental costs, which requires the determining of the cost function at zero production levels, is necessary in estimating product-specific scale and scope economies.

Structural hysteresis provides a conceptual framework in which to consider relationships between organization size and structure during periods of decline. The use of this framework, as an extension of current theory, Indicates that relationships between size and structure in declining organizations do not parallel those found in growing organizations. Participation problems, commitment, and coalition politics may explain the occurrence of structural hysteresis. Implications for theory and research are discussed. [ABSTRACT FROM AUTHOR]

The article examines the effect of the use of programming resources for data processing on management. The author discusses models for centralization of the programming resources and the utilization of programming resources by function and a real composition of size. The author states that major advances in technology seem to have only marginal impact on organization outputs and the chief impediment to rationalization is organization. The article also discusses the role of economies of scale in choosing appropriate location of data processing unit.

This research explores the notion of competitive simplicity: a tendency of some firms to concentrate intensely on just a few central activities. Our focus here is the simplicity inherent in the repertoire of concrete, market-oriented actions used by companies to compete: these actions include product introductions, pricing or advertising decisions, and changes in market scope. The simplicity of a competitive repertoire can be assessed by its range of actions and its degree of concentration on one or a few dominant types of actions. We argue that competitive simplicity is largely a function of organizational and environmental properties that attenuate managerial search or restrict knowledge of competitive alternatives. These properties include good performance, munificent, homogeneous or certain markets, a lack of breadth in competitive experiences, and the complacency that may accompany age and size. Paradoxically, although good past performance may contribute to simplicity, simplicity can hurt subsequent performance, especially during periods of uncertainty and growth. Many of these ideas were borne out in a study of the major carriers of the post-deregulation domestic airline industry. [ABSTRACT FROM AUTHOR]

Chief Executives from New Zealand's largest companies were surveyed to distinguish divesting and nondivesting companies, and to identify the relative importance of the factors and motives which led to the divestment of 208 business units in the period 1985 through 1990. The divesting companies were considerably larger and faster growing than nondivestors. The typical divestment was motivated by the need to convert unattractive assets into liquid form which could then be held to strengthen the balance sheet, or reinvested in either the core business or new areas. [ABSTRACT FROM AUTHOR]

The present study extends previous research efforts and examines relationships between commonly discussed strategic acquisition factors and long-term financial performance measures of acquiring firms. The factors of interest include relative size, previous acquisition experience, organizational age, industry commonality, contested versus uncontested acquisitions, and percentage of stock acquired. The financial performance measures include both accounting and capital market data for the 4-year period preceding acquisition activity and the 4-year period following such activity. The study presents bivariate and multivariate analyses for 42 industrial manufacturing firms that engaged in the tender offer form of acquisition. The findings indicate that, on the average, post-acquisition financial performance improved significantly for organizations that had previous acquisition experience, acquired a higher percentage of a target, or were older. Post-acquisition performance decreased significantly for acquiring firms when target firms contested an acquisition. [ABSTRACT FROM AUTHOR]

The article presents a study that examines the correlation between organizational size and structure in the case of some life insurance companies in the United States. According to the author, growth in an organization can create pressures leading to an increase in differentiation in organizational structures. The author notes that these pressures may be brought on by factors including control, communication and supervision, faced by large organizations. According to the results of the study, the size-structure relationship dies not vary according to the measurement used to determine organizational size.

The article looks at a study which examines the relationship between modes of administrative succession at the corporate level and the organizational criterion of growth in manufacturing companies. The adaptability of an organization is noted as being more important than profit or employee morale. The growth of organizations is looked at in companies which promote presidents from within the company in contrast to those which hire from outside the organization. The expansion of boards of directors relative to a company's size is also examined.

In an attempt at bridging the sometimes seemingly unbridgable chasm between management theory and management practice, the recent annual meeting of the Western Division, Academy of Management scheduled a dialogue on one of today's most vital subjects. The following are portions of the luncheon address and the panel presentation. [ABSTRACT FROM AUTHOR]

In recent years, companies receive pressure to release environmental, social, and governance (ESG) disclosure, since these are perceived as critical issues by society. Despite this pressure, ESG disclosure practices considerably vary by firm. Prior academic literature investigated country- and firm-level factors determining such variation, alternatively adopting the institutional and legitimacy theory. By combining these theories in a unique framework, this study investigates the extent to which social structures (i.e., institutional theory) and social legitimization (i.e., legitimacy theory) influence ESG disclosure practices and each pillar. Results obtained using a cross-country sample of 14,174 firm-year observations during 2005-2012 provide evidence that country-level characteristics such as a political system (legal framework and corruption), labor system (labor protection and unemployment rate), and cultural system (Social Cohesion and Equal Opportunities) significantly affect firms’ ESG disclosure practices. However, their impact is heterogeneous in that they either reduce or enhance disclosure levels and may differ by pillar. Results for firm-level characteristics related to a firm’s visibility (analysts coverage, cross-listing, leverage, and size) demonstrate a positive and homogeneous effect on ESG disclosure and each pillar. These results inform policy makers and regulators aiming to enhance ESG disclosure levels of the risk they incur when managing variables related to social structure and the benefits of exposing firms to higher visibility. [ABSTRACT FROM AUTHOR]

Recent studies on cost behaviour have proved that cost increase caused by business expansion is larger than cost decrease caused by business downsizing. This cost stickiness behaviour contradicts the traditional theoretic assumption that cost level and business size change in a linear way. This article investigates the existence or non-existence of cost stickiness using a sample of China’s manufacturing listed companies during the period 2010–2014. First, our findings show that cost stickiness is a pervasive phenomenon and overestimated in the manufacturing industry. Second, we find that cost stickiness varies greatly across industries and in different regions. Finally, we find that cost stickiness is affected by the economic growth. Specifically, cost stickiness increases with the macroeconomic growth. Our results from China’s manufacturing listed companies provide evidence on asymmetric cost behaviour and contain important implications for both cost accounting research and financial accounting research. [ABSTRACT FROM AUTHOR]

This study adds clarity to inconclusive results in previous literature about the link between board characteristics and the level of social responsibility performance by using fuzzy set qualitative comparative analysis. Specifically, we propose a new holistic framework based on the complexity theory. From a sample of 471 non-financial companies from the USA for the period 2008-2010, our findings support the four tenets of complexity theory: equifinality, complexity, asymmetry, and causal asymmetry . More concretely, they suggest that CSR performance depends on a complex configuration of some board characteristics, such as size, independency, diversity and activity, and other corporate attributes (i.e., company size, leverage, and growth opportunities). These factors play a key role as the ingredients of the recipe and, in a proper combination, contribute to obtaining high levels of social responsibility performance. Copyright © 2017 John Wiley & Sons, Ltd and ERP Environment [ABSTRACT FROM AUTHOR]

How many stores does it take to supply consumers with convenience in shopping? What does the size of store have to do with an optimum retail structure? This article argues that there is a direct relationship between shopping convenience and economies of scale in retail store operation. [ABSTRACT FROM AUTHOR]

A conference paper about differential pricing as it applies to public utility services is presented. According to the author, it can be difficult when differential pricing is being used in regards to public utilities because cost behavior is often linked with distribution costs. As consumption increases there is a decrease in unit charge.