Firms Far Up! Productivity, Agglomeration and High-Growth Firms in Ethiopia

doi:10.1596/1813-9450-9099

Publication:
Firms Far Up! Productivity, Agglomeration and High-Growth Firms in Ethiopia

dc.contributor.author	Grover, Arti
dc.date.accessioned	2020-01-02T21:45:58Z
dc.date.available	2020-01-02T21:45:58Z
dc.date.issued	2019-12
dc.description.abstract	High-growth firms have been widely studied in advanced countries, but little is known about such stellar performers in Africa. Using establishment-level data from Ethiopia, this paper finds that the incidence of high-growth firms stands at an average of 7 percent, a figure comparable to that of advanced countries. High-growth episodes are short-lived, and the likelihood of survival or a subsequent episode is not any higher for high-growth firms. It is difficult for firms to sustain high growth, and the likelihood of a repeated episode is low. There is only a 6.5 percent chance that a manufacturing plant in Ethiopia will repeat a high-growth event in the subsequent three-year period. This likelihood is not greater than that of plants that did not experience high growth in the previous period. The paper explores the drivers of high growth and finds a tight link between exemplary performance and initial plant productivity, which is robust to many controls, including plant location. Plants located in Ethiopia's capital city or agglomerations have a higher probability of high growth. And high growth in plant employment is found to be self-reinforcing, that is, past high-growth experience is positively and significantly associated with subsequent growth in firm productivity.	en
dc.identifier	http://documents.worldbank.org/curated/en/600161577764526811/Firms-Far-Up-Productivity-Agglomeration-and-High-Growth-Firms-in-Ethiopia
dc.identifier.doi	10.1596/1813-9450-9099
dc.identifier.uri	https://hdl.handle.net/10986/33119
dc.language	English
dc.publisher	World Bank, Washington, DC
dc.relation.ispartofseries	Policy Research Working Paper;No. 9099
dc.rights	CC BY 3.0 IGO
dc.rights.holder	World Bank
dc.rights.uri	http://creativecommons.org/licenses/by/3.0/igo
dc.subject	FIRM PRODUCTIVITY
dc.subject	AGGLOMERATION ECONOMICS
dc.subject	SMALL AND MEDIUM ENTERPRISES
dc.subject	HIGH-GROWTH FIRMS
dc.title	Firms Far Up! Productivity, Agglomeration and High-Growth Firms in Ethiopia	en
dc.type	Working Paper	en
dc.type	Document de travail	fr
dc.type	Documento de trabajo	es
dspace.entity.type	Publication
okr.crossref.title	Firms Far Up! Productivity, Agglomeration, And High-Growth Firms In Ethiopia
okr.date.disclosure	2019-12-30
okr.doctype	Publications & Research
okr.doctype	Publications & Research::Policy Research Working Paper
okr.docurl	http://documents.worldbank.org/curated/en/600161577764526811/Firms-Far-Up-Productivity-Agglomeration-and-High-Growth-Firms-in-Ethiopia
okr.guid	600161577764526811
okr.identifier.doi	10.1596/1813-9450-9099
okr.identifier.externaldocumentum	090224b087489e13_1_0
okr.identifier.internaldocumentum	31676009
okr.identifier.report	WPS9099
okr.imported	true	en
okr.language.supported	en
okr.pdfurl	http://documents.worldbank.org/curated/en/600161577764526811/pdf/Firms-Far-Up-Productivity-Agglomeration-and-High-Growth-Firms-in-Ethiopia.pdf	en
okr.region.administrative	Africa
okr.region.country	Ethiopia
okr.statistics.combined	1328
okr.statistics.dr	600161577764526811
okr.statistics.drstats	911
okr.topic	Private Sector Development::Private Sector Economics
okr.topic	Private Sector Development::Small and Medium Size Enterprises
okr.unit	Finance, Competitiveness and Innovation Global Practice
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