THIS DOI METADATA WAS LAST UPDATED: 2025-05-13 09:49
Full Title
MANAGEMENT CONTROL
Publisher
FrancoAngeli
ISSN
2239-0391 (Printed Journal)
2239-4397 (Online Journal)
Journal Issue Number
1
Journal Issue Designation
1
Journal Issue Date
2025
Full Title
Mutual Spatial Proximity, Organized Crime, and the Profitability of High-Growth Startups: The Case of Italian Gazelle Enterprises
By (author)
First Page
237
Last Page
259
Language of text
English
Publication Date
2025/04
Copyright
2025 FrancoAngeli srl
Main description
This study applies a spatial regression model to panel data to investigate the impact of spatial proximity between Italian high-growth startups, termed Gazelles, on their Return on Assets (ROA). The model incorporates a spatially lagged dependent variable to capture the influence of neighboring firms' performance. Furthermore, we examine the association between perceived crime levels in the provinces where these startups operate and their profitability. Our results show that operating profitability is positively associated with mutual geographic proximity among Gazelles, whereas it is negatively affected by elevated perceptions of local crime. These findings are relevant for entrepreneurs, incubators, and accelerators seeking to identify contextual factors that may enhance or impede firm performance. They also have significant implications for policymakers aiming to design strategies that foster positive externalities and mitigate detrimental externalities in entrepreneurial ecosystems.
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