This article attemps to highlight the factors that condition the creation of economic units of different dimensions in the manufacturing industry of the Autonomous Community of the Basque Country (CAPV) during the period 1985--93. We conclude that more establishments are created, particularly those of a small dimension, in sectors in which smaller economic units have a higher advantage in costs vis-à-vis those of a larger dimension, in sectors which are more profitable, with a larger proportion of subcontrating firms, with a lower degree of concentration and of technological intensity and in which entities external to the firm have a heavier wheight in R&D activities.
Small Business Economics – Springer Journals
Published: Sep 30, 2004
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