IDEAS home Printed from https://ideas.repec.org/a/taf/regstd/v44y2010i8p1053-1066.html
   My bibliography  Save this article

The Evolution of Firm Growth Dynamics in the US Pharmaceutical Industry

Author

Listed:
  • Pelin Demirel
  • Mariana Mazzucato

Abstract

Demirel P. and Mazzucato M. The evolution of firm growth dynamics in the US pharmaceutical industry, Regional Studies. This paper studies the dynamics of firm growth and firm size distribution in the pharmaceutical industry from 1950 to 2003. Growth dynamics are studied in the context of how the size composition of firms changes, how innovation patterns change, and how location leads to growth differentials among US firms. It is found that the growth advantage of small pharmaceutical firms increases after the 1980s as small firms become more active in patenting and their patenting activities become more 'persistent'. Location is found to affect growth differences only for the most innovative firms (that is, for non-innovative firms, location does not matter). [image omitted] Demirel P. et Mazzucato M. L'evolution de la dynamique de la croissance des entreprises dans l'industrie pharmaceutique aux Etats-Unis, Regional Studies. Cet article cherche a etudier la dynamique de la croissance des entreprises et de la distribution des entreprises par taille dans l'industrie pharmaceutique de 1950 jusqu'a 2003. On etudie la dynamique de la croissance pour determiner comment la distribution des entreprises par taille evolue, comment la structure de l'innovation change, et comment la localisation entraine des ecarts de la croissance des entreprises aux Etats-Unis. Il s'avere que l'avantage des petites entreprises pharmaceutiques en termes de croissance augmente apres les annees 1980 au fur et a mesure que les petites entreprises obtiennent davantage de brevets et que le brevetage 'persiste'. Il s'avere que la localisation n'influe sur les ecarts de croissance que pour les entreprises les plus innovatrices (c'est a dire que la localisation n'importe pas pour les entreprises qui ne sont pas innovatrices). Croissance des entreprises Innovation Industrie pharmaceutique Demirel P. und Mazzucato M. Die Evolution der Wachstumsdynamik von Firmen in der pharmazeutischen Industrie der USA, Regional Studies. In diesem Beitrag untersuchen wir die Dynamik von Firmenwachstum und Firmengrossenverteilung in der pharmazeutischen Industrie im Zeitraum von 1950 bis 2003. Die Wachstumsdynamik wird im Kontext der Frage untersucht, wie sich die Grossenzusammensetzung der Firmen andert, wie sich die Innovationsablaufe andern und wie der Standort zu Wachstumsdifferentialen zwischen Firmen in den USA fuhrt. Wir stellen fest, dass der Wachstumsvorteil kleiner pharmazeutischer Firmen nach den achtziger Jahren zunimmt, da die kleineren Firmen bei der Patentierung aktiver und ihre Patentierungsaktivitaten bestandiger werden. Der Standort wirkt sich hingegen nur bei den innovativsten Firmen auf Wachstumsdifferenzen aus (mit anderen Worten, bei nicht innovativen Firmen kommt es nicht auf den Standort an). Firmenwachstum Innovation Pharmaindustrie Demirel P. y Mazzucato M. La evolucion de las dinamicas de crecimiento de empresas en la industria farmaceutica de los Estados Unidos, Regional Studies. En este articulo analizamos las dinamicas del crecimiento de empresas y la distribucion del tamano de las empresas en la industria farmaceutica de 1950 a 2003. Estudiamos las dinamicas de crecimiento en cuanto a como cambia la composicion del tamano de las empresas, como cambian los modelos de innovacion y como lleva la ubicacion a diferenciales de crecimiento entre empresas estadounidenses. Observamos que la ventaja de crecimiento de pequenos laboratorios farmaceuticos aumenta despues de la decada de los ochenta cuando las pequenas empresas se vuelven mas activas con las patentes y las actividades relacionadas con patentes son mas 'persistentes'. Vemos que la ubicacion afecta a las diferencias de crecimiento solamente en empresas mas innovadoras (es decir, para las empresas no tan innovadoras la ubicacion no importa). Crecimiento de empresas Innovacion Industria farmaceutica

Suggested Citation

  • Pelin Demirel & Mariana Mazzucato, 2010. "The Evolution of Firm Growth Dynamics in the US Pharmaceutical Industry," Regional Studies, Taylor & Francis Journals, vol. 44(8), pages 1053-1066.
    • Handle: RePEc:taf:regstd:v:44:y:2010:i:8:p:1053-1066
    DOI: 10.1080/00343400903241469
    as

    Download full text from publisher

    File URL: http://www.tandfonline.com/doi/abs/10.1080/00343400903241469
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00343400903241469?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Giovanni Dosi, 2008. "Statistical Regularities in the Evolution of Industries. A Guide through Some Evidence and Challenges for the Theory," L'industria, Società editrice il Mulino, issue 2, pages 185-220.
    2. Francesca Lotti & Enrico Santarelli & Marco Vivarelli, 2009. "Defending Gibrat’s Law as a long-run regularity," Small Business Economics, Springer, vol. 32(1), pages 31-44, January.
    3. Giulio Bottazzi & Elena Cefis & Giovanni Dosi & Angelo Secchi, 2003. "Invariances and Diversities in the Evolution of Manufacturing Industries," LEM Papers Series 2003/21, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. O. V. Kuznetsova & R. O. Bobrovsky, 2022. "Location of the Largest Pharmaceutical Companies in Russia: Contribution to Regional Divergence or Convergence?," Regional Research of Russia, Springer, vol. 12(2), pages 124-132, June.
    2. Jean Dubé & Cédric Brunelle, 2014. "Dots to dots: a general methodology to build local indicators using spatial micro-data," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 53(1), pages 245-272, August.
    3. Rachel Bocquet & Christian Le Bas & Caroline Mothe & Nicolas Poussing, 2017. "CSR, Innovation, and Firm Performance in Sluggish Growth Contexts: A Firm-Level Empirical Analysis," Journal of Business Ethics, Springer, vol. 146(1), pages 241-254, November.
    4. Timo Busch & Maximilian Schnippering, 2022. "Corporate social and financial performance: Revisiting the role of innovation," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(3), pages 635-645, May.
    5. James D. Campbell, 2019. "Investment in ideas when genius and madness look alike," Economics Bulletin, AccessEcon, vol. 39(2), pages 947-953.
    6. Elias Dinopoulos & Bulent Unel, 2014. "Firm Productivity, Occupational Choice, and Inequality in a Global Economy (revised March 2015)," Departmental Working Papers 2014-04, Department of Economics, Louisiana State University.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Giulio Bottazzi & Alex Coad & Nadia Jacoby & Angelo Secchi, 2011. "Corporate growth and industrial dynamics: evidence from French manufacturing," Applied Economics, Taylor & Francis Journals, vol. 43(1), pages 103-116.
    2. Colombelli, Alessandra & Haned, Naciba & Le Bas, Christian, 2013. "On firm growth and innovation: Some new empirical perspectives using French CIS (1992–2004)," Structural Change and Economic Dynamics, Elsevier, vol. 26(C), pages 14-26.
    3. Giovanni Dosi & Marco Grazzi, 2005. "Technology as Problem-Solving Procedures and Technology as Input-Output Relations: Some Perspectives on the Theory of Production," LEM Papers Series 2005/26, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    4. Giovanni Dosi & Marco Grazzi, 2006. "Technologies as problem-solving procedures and technologies as input--output relations: some perspectives on the theory of production," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 15(1), pages 173-202, February.
    5. Vasilii Erokhin & Dmitry Endovitsky & Alexey Bobryshev & Natalia Kulagina & Anna Ivolga, 2019. "Management Accounting Change as a Sustainable Economic Development Strategy during Pre-Recession and Recession Periods: Evidence from Russia," Sustainability, MDPI, vol. 11(11), pages 1-23, June.
    6. Daniel Fackler & Claus Schnabel & Joachim Wagner, 2013. "Establishment exits in Germany: the role of size and age," Small Business Economics, Springer, vol. 41(3), pages 683-700, October.
    7. Daunfeldt, Sven-Olov & Elert, Niklas & Lang, Ã…sa, 2012. "Does Gibrat's law hold for retailing? Evidence from Sweden," Journal of Retailing and Consumer Services, Elsevier, vol. 19(5), pages 464-469.
    8. Hernan Mondani & Petter Holme & Fredrik Liljeros, 2014. "Fat-Tailed Fluctuations in the Size of Organizations: The Role of Social Influence," PLOS ONE, Public Library of Science, vol. 9(7), pages 1-9, July.
    9. Francesco Quatraro & Marco Vivarelli, 2015. "Drivers of Entrepreneurship and Post-entry Performance of Newborn Firms in Developing Countries," The World Bank Research Observer, World Bank, vol. 30(2), pages 277-305.
    10. H. T. Tran & E. Santarelli, 2013. "Determinants and Effects of Innovative Activities in Vietnam. A Firm-level Analysis," Working Papers wp909, Dipartimento Scienze Economiche, Universita' di Bologna.
    11. Pilar López-Delgado & Julio Diéguez-Soto & María J. Martínez-Romero & Teresa Mariño-Garrido, 2024. "Acquisition activity: do firm age and family control matter?," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 14(2), pages 447-473, June.
    12. Höhler, Julia & Kuhl, Rainer, 2014. "Corporations in an evolving competitive environment - evidence for the German agribusiness," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182689, European Association of Agricultural Economists.
    13. Georgios Fotopoulos & Ioannis Giotopoulos, 2010. "Gibrat’s law and persistence of growth in Greek manufacturing," Small Business Economics, Springer, vol. 35(2), pages 191-202, September.
    14. Gavin Reid & Zhibin Xu, 2012. "Generalising Gibrat: using Chinese evidence founded on fieldwork," Small Business Economics, Springer, vol. 39(4), pages 1017-1028, November.
    15. Coad, Alex & Segarra, Agustí & Teruel, Mercedes, 2013. "Like milk or wine: Does firm performance improve with age?," Structural Change and Economic Dynamics, Elsevier, vol. 24(C), pages 173-189.
    16. Alessandra Colombelli & Jackie Krafft & Francesco Quatraro, 2015. "Eco-innovation and Firm Growth: Do Green Gazelles Run Faster? Microeconometric Evidence from a Sample of European Firms. WWWforEurope Working Paper No. 88," WIFO Studies, WIFO, number 57897, August.
    17. Arouri, Hassan & Ben-Youssef, Adel & Quatraro, Francesco & Vivarelli, Marco, 2018. "The Determinants of Young Firms Growth in Tunisia," IZA Discussion Papers 11400, Institute of Labor Economics (IZA).
    18. Martin Woerter, 2009. "Industry diversity and its impact on the innovation performance of firms," Journal of Evolutionary Economics, Springer, vol. 19(5), pages 675-700, October.
    19. Silviano Esteve-Pérez & Fabio Pieri & Diego Rodriguez, 2022. "One swallow does not make a summer: episodes and persistence in high growth," Small Business Economics, Springer, vol. 58(3), pages 1517-1544, March.
    20. Stephanie Reitzinger & Astrid Pennerstorfer, 2021. "The size–growth relationship in the social services sector in Austria," Service Business, Springer;Pan-Pacific Business Association, vol. 15(3), pages 445-466, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:regstd:v:44:y:2010:i:8:p:1053-1066. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CRES20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.