Determinants of high-growth firms: why do some countries have more high-growth firms than others?

Mercedes Teruel and Gerrit de Wit present the first empirical analysis of high-growth firms at the country level. They find indicative empirical evidence for three driving forces of high growth: entrepreneurship, institutional setting and opportunities for growth. They also investigate three specific channels of influence toward high-growth firms: enrolment in tertiary education; entrepreneurial motives associated with growth-oriented ambitions; and the promotion of entrepreneurship as a desirable career choice. Besides, they consider the possible impact of institutions and whether fast-growing firms are more probable in dynamic economic environments offering greater business opportunities.