Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/141492 
Year of Publication: 
2016
Series/Report no.: 
IZA Discussion Papers No. 9733
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
This paper investigates the reasons why entry per se is not necessarily good and the evidence showing that innovative startups survive longer than their non-innovative counterparts. In this framework, our own empirical analysis shows that greater survival is achieved when startups engage successfully in both product innovation and process innovation, with a key role of the latter. Moreover, this study goes beyond a purely microeconomic perspective and discusses the key role of the environment within which innovative entries occur. What is shown and discussed in this contribution strongly supports the proposal that the creation and survival of innovative start-ups should become one qualifying point of the economic policy agenda.
Subjects: 
innovation
startups
survival
product innovation
process innovation
JEL: 
L26
O33
Document Type: 
Working Paper

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