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| Author: | Romanelli, E. |
| Title: | Environments and strategies of organization start-up: effects on early survival. |
| Journal: | Administrative Science Quarterly
1989 : SEP, VOL. 34:3, p. 369-387 |
| Index terms: | ORGANIZATIONAL PERFORMANCE NEW ENTERPRISE BUSINESS ENVIRONMENT |
| Language: | eng |
| Abstract: | Two factors influencing the likelihood of an organization's surviving its start-up years are explored: (1) environmental resource and competitive conditions at the time of founding, and (2) strategies that an organization uses during its early years to exploit environmental conditions. Changes in industry sales and in concentration ratios as well as early organizational strategies are linked to the likelihood of early survival. A study of start-ups in the minicomputer industry indicate that, specialist and aggressive strategies increase the chances for early survival. Founders can overcome hazards of start-up by tailoring strategies to environmental conditions. |
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