Geographical variations in business start-up activity and chances of survival in Western Germany from 1983 to 1997

Abstract

"Business start-ups are considered to represent an important means for renewing regional economic structures. There is to date, however, little empirical evidence regarding the timescales affecting business start-ups, nor are sectoral or geographical breakdowns or data an survival rates available. The first part of this article consists of an analysis of start-up activity in western Germany between 1983 and 1997, revealing a relatively high constancy between structures and processes. One further important finding is the discovery overall of a reciprocal relationship between the start-up rates observed for specific cohorts and their survival rates over a five-year term, attributable largely to the Service sector. The second part of the study draws an regression analysis in an attempt to assess the geographical differences for start-up rates and survival rates. The models for start-ups provide relatively good certainty levels (60-84 %); the results for survival rates are not quite as Sound. Overall the study reveals that both Start-up rates and survival rates are influenced significantly by the respective business sector and by the regional milieu (size of businesses, qualifications, unemployment rate, etc.). In the final section, these findings are used to develop ideas for regional structure policy." (Author's abstract, IAB-Doku) ((en))

Cite article

Brixy, U. & Grotz, R. (2002): Räumliche Differenzierungen von Betriebsgründungsintensität und Überlebenschancen in Westdeutschland 1983 bis 1997. In: Raumforschung und Raumordnung, Vol. 60, No. 2, p. 100-122.