Title High-Growth Firms
Subtitle Facts, Fiction, and Policy Options for Emerging Economies
Author Arti Grover Goswami, Denis Medvedev, Ellen Olafsen
ISBN 9781464813689
List price USD 45.00
Price outside India Available on Request
Original price
Binding Paperback
No of pages 194
Book size 178 x 254 mm
Publishing year 2019
Original publisher The World Bank
Published in India by .
Exclusive distributors Viva Books Private Limited
Sales territory India, Sri Lanka, Bangladesh, Pakistan, Nepal, .
About the book Send Enquiry


“Policy makers often get carried away by the disproportionate contributions of high-growth firms to job and output growth and commit to pursuing policies targeting the potential ‘stars: This book separates fact from fiction underpinning such interventions through a comprehensive analysis of high-growth firms across a range of developing countries, making a compelling argument that public policy to pick prospective winners is neither possible nor desirable. Policy makers would be wise to consult its arguments and policy advice when designing the next generation of policies to support the growth of firms.”

William R. Kerr, Professor of Business Administration, Harvard University; author of The Gift of Global Talent: How Migration Shapes Business, Economy & Society

“How to ignite and sustain high firm growth has eluded both economic analysis and thought leaders in policy and business. Through its meticulous and thoughtful analysis, this important new book provides a tractable framework to guide policy to harness the growth and productivity potential of firms in the developing-country context.”

David Audretsch, Distinguished Professor and Director of the Institute for Development Strategies, Indiana Universty


Remarkably, a small fraction of firms account for most of the job and output creation in high-income and developing countries alike. Does this imply that the path to enabling more economic dynamism lies in selectively targeting high-potential firms? Or would pursuing broad-based reforms that mininize distortions be more effective?

Inspired by these questions, this book presents new evidence on the incidence, characteristics, and drivers of high-growth firms based on in-depth studies of firm dynamics in Brazil, Côte d’lvoire, Ethiopia, Hungary, India, Indonesia, Mexico, South Africa, Thailand, Tunisia, and Turkey. Its findings reveal that high-growth firms are not only powerful engines of job and output growth but also create positive spillovers for other businesses along the value chain.

At the same time, the book debunks several myths about policies to support firm dynamism that focus on outward characteristics, such as firm size, sector, location, or past performance. Its findings show that most firms struggle to sustain rapid rates of expansion and that the relationship between high growth and productivity is often weak. Consequently, the book calls for a shift toward policies that improve the quality of firm growth by supporting innovation, managerial skills, and firms’ ability to leverage global linkages and agglomeration.

To help policy makers structure policies that support firm growth, the book proposes a new ABC framework of growth entrepreneurship: improving Allocative efficiency, encouraging Business-to-business spillovers, and strengthening firm Capabilities.

This book is the third volume of the World Bank Productivity Project, which seeks to bring frontier thinking on the measurement and determinants of productivity to global policy makers.





Executive Summary

Chapter 1: The Appeal of High Growth • Definitions • Incidence • Job and Output Creation: The “80/20” Rule • Linkages and Spillovers • Annex 1A • Notes • References

Chapter 2: Facets of High-Growth Events • Size and Age • Sector and Location • Firms and Episodes • Annex 2A • Notes • References

Chapter 3: What Makes for High Growth? • Productivity • Innovation • Agglomeration and Firm Networks • Managerial Capabilities and Worker Skills • Global Linkages • Financial Development • Annex 3A • Notes • References

Chapter 4: Searching for Winners • Programs and Instruments to Support Firm Growth • Selection of Beneficiaries • Toward an Evidence-Based Approach to Supporting High Firm Growth • Annex 4A • Notes • References

List of Background Papers

About the Author:

Denis Medvedev is a Lead Economist at the World Bank in the Finance, Competitiveness, and Innovation Global Practice.

Target Audience:

This book will be useful to people interested in economic growth.

Special prices are applicable to the authorised sales territory only.
Prices are subject to change without prior notice.