Determinants of Research-Based Spin-Offs Survival

Existing literature has shown that research-based spin-offs firms usually exhibit lower death risks than other start-ups. However, few studies have focused on the survival determinants of these particular firms. From a matched employer-employee data set this paper fills this gap by providing evidence using a sample of RBSOs created in Portugal from 1979 until to 2007 and observed until 2012. Specifically, we investigate if firm characteristics and location characteristics play a role on their survival. Our results show a positive impact on the probability of survival of these firms (such factors as firm size and age) as well as the location of spin-offs in municipalities with high entry rates and low exit rates.