Differentiating large absolute from relative expansions in De Novo Ventures — Are large capacity expansions sustainable in the long run?

• Main Author: FAN, Terence P. C.
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2017
• Subjects: capacity; expansion; new ventures; start-ups; failure; fast growth; high growth; Business Administration, Management, and Operations; Sales and Merchandising
• Online Access: https://ink.library.smu.edu.sg/lkcsb_research/5119
• Institution: Singapore Management University

By considering how in many industries an augmentation in production capacity is necessary to bring about significant growth in sales or eventual profit, this study adds an important footnote to prevailing theories of firm survival and competitiveness in strategic management. First, it distinguishes...