The role of linkages in firm performance: evidence from southern Italy

This paper estimates the probability of success of post-entry performance o f new firms, using survey data from a group of southern-Italian small firms . Several factors involving inter-firm linkages contribute to success, espe cially production for order and subcontracting. The empirical investigation supports Hirschman's idea on the industrialization process and positive as sessments of the downsizing phenomenon in Italy. (C) 2000 Elsevier Science B.V. All rights reserved.