Organization capital and firm life cycle
Access Status
Authors
Date
2018Type
Metadata
Show full item recordCitation
Source Title
ISSN
School
Collection
Abstract
We hypothesize, and examine empirically, two types of association between organization capital and firm life cycle. Are firms with high organization capital more likely to be in a particular stage of their life cycle than firms with low organization capital? Are firms' transitions from one life cycle stage to another over time associated with how much they invest in organization capital? Our findings suggest that firms with high (low) organization capital are more likely to be in the introduction and decline (growth and maturity) stages. Our results also show that firms that invest more in organization capital (i.e., changes in organization capital) are less (more) likely to move to the introduction, shake-out and decline (growth and maturity) stages in the subsequent five years. Our results are robust to alternative specifications of organization capital, life cycle proxies and endogeneity concerns.
Related items
Showing items related by title, author, creator and subject.
-
Hasan, Mostafa Monzur (2015)This thesis examines the relationship between organization capital and firm life cycle, and their effect on firm risk and the cost of capital. The results show that firms with higher (lower) organization capital or cost ...
-
Hasan, Mostafa; Hossain, M.; Cheung, Adrian; Habib, A. (2015)This paper investigates the effect of the corporate life cycle on the cost of equity capital. Using a sample of Australian firms between 1990 and 2012, we find that the cost of equity capital varies over the life cycle ...
-
Kurup, Biji R. (2007)Industrial operations have been attributed to causing social and environmental problems such as: acid rain; greenhouse gas emissions, air, water and soil pollution; plus health problems to neighbourhood communities. With ...