Fast growing businesses in Germany: The characteristics and determinants of their growth

On the basis of survey data, this study analyses the pivotal characteristics of fast growing firms with 10 employees at minimum as well as the determinants of their growth. The smaller ones, companies at the early stages of the life cycle and the ones located in the manufacturing sector belong to this specific group of companies. The majority among them grows continuously in turnover and employment in the period between 2012 and 2015. The results further reveal that ownership and management structures do not generally influence fast growth, but specific behaviours including the acceptance of higher risks for gaining higher profits enhance the fast growth of family firms. Beyond that companies that engage in research and development activities are more likely to grow fast. Pursuing goals that serve the common good, however, reduce the chances for fast growth.

Schlepphorst, S.; Schlömer-Laufen, N. (2016): Schnell wachsende Unternehmen in Deutschland: Charakteristika und Determinanten ihres Wachstums, IfM Bonn: IfM-Materialien Nr. 246, Bonn 2016.

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