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Theory, Definitions, and Measurement
Louise Reader
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This open access book goes into the details of the characteristics of scale-ups, touching upon various theoretical perspectives (stages of growth models, the role of intangible capital, the tradeoffs between fixed costs and marginal costs) relating to firm growth, to provide a clear definition of this emerging concept. Given the disproportionately large economic contribution of a small number of fast-growing firms, there has been growing interest in a category of dynamic ventures called "scale-ups". The term was popularized by Silicon Valley Venture Capitalists before receiving attention from academics and public policy makers. However, there remains considerable confusion regarding what a scale-up actually is.
This is an open access book.
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Anders Bornhäll (Institute of Retail Economics, Stockholm, Sweden) has focused his research on institutional barriers to entrepreneurship and firm growth. In his dissertation, "Unseen Job Creators and Firm Growth Barriers," he studied two potential barriers to firm growth: capital constraints and employment protection legislation. Some of Anders’ current research includes how firms use non-organic growth methods, how firms and local regions strengthen their resilience towards economic shocks, and how firms adapted to the COVID-19 pandemic.
Sven-Olov Daunfeldt is a Professor of Economics, currently serving as the Chief Economist of the Confederation of Swedish Enterprise. Sven-Olov received his Ph.D from Umeå University in 2001 and has since then worked in a number of different research areas such as labour economics, public finance, political economy, and industrial organization. His research isnowadays primarily focused on firm dynamics, with a special emphasize on high-growth firms and the institutional conditions for firm growth. Sven-Olov has published over 50 peer-reviewed papers in well-renowned journals such as the Journal of Population Economics, Regional Studies, Industrial and Corporate Change, and Small Business Economics.
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