The impact of different innovation dimensions on start-ups’ survival

Proceedings of The 3rd International Conference on Advanced Research in Management, Economics and Accounting

Year: 2022



The impact of different innovation dimensions on start-ups’ survival

Maria Cristina Arcuri, Gino Gandolfi and Ivan Russo



This paper investigates the relationship between innovativeness and survival of Italian innovative start-ups. From a dataset of 9,338 firms for the period 2011-2021, we exploit parametric survival regression to model survival time. Our results show that different types of innovation have a differential impact on survival rates. In particular, we show that innovation orientation and innovation outputs are more important for determining the survival of start-ups than innovation inputs. Moreover, we find that female and young-led start-ups do not lag behind their male and older counterparts in terms of survivability and that firms led by foreign-born entrepreneurs show lower survival rates. These findings have important implications for both entrepreneurs and policymakers: entrepreneurs, when investing in innovative activities, should cautiously consider the productivity of those investments; on the other hand, policymakers should put in place measures to foster the innovation orientation of start-ups and facilitate the production of new innovative products and services.

keywords: Female entrepreneur, Innovation, Start-up, Survival analysis.