Determinants of firm survival in the Austrian accommodation sector

• Serguei Kaniovski ^[1] ; Egon Smeral ^{[1] [2]} ; M. Peneder ^[1]
  1. [1] Austrian Institute of Economic Research

     Austrian Institute of Economic Research

     Innere Stadt, Austria

     
  2. [2] University of Innsbruck

     University of Innsbruck

     Innsbruck, Austria

     
• Localización: Tourism economics: the business and finance of tourism and recreation, ISSN 1354-8166, Vol. 14, Nº. 3, 2008, págs. 527-543
• Idioma: inglés
• Texto completo no disponible (Saber más ...)
• Resumen

  • In this study, the authors use a parametric duration analysis to determine the survival rate of firms in the Austrian accommodation sector. Factors that contribute positively to the survival rate of entrants in the accommodation sector include larger initial size, a large share of young firms and fast market growth. High sunk costs and the location of businesses in major tourist destinations with a distinctive winter and summer season and a relative high average bed utilization rate further improve the odds of survival. The authors find an inverted U-shape hazard function supporting the liability of newness hypothesis. The hazard rate is lower than in the production of other market services but higher than in manufacturing.