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Author (up) Klepper, S. openurl 
  Title The Capabilities of New Firms and the Evolution of the US Automobile Industry Type Journal Article
  Year 2002 Publication Industrial and Corporate Change Abbreviated Journal  
  Volume 11 Issue 4 Pages 645-66  
  Corporate Author Thesis  
  Address Carnegie Mellon U  
  Keywords Automobiles, Other Transportation Equipment (L620); Production, Pricing, and Market Structure, Size Distribution of Firms (Concentration, Product Differentiation, Entry and Exit) (L110); Economic History: Manufacturing and Construction (includes Housing): U.S., Canada: 1913- (N620); Economic History: Manufacturing and Construction (includes Housing): U.S., Canada: Pre-1913 (N610); U.S.; Automobile; Firm; Firms  
  Abstract Firms that diversify into new and existing industries typically outperform de novo entrants, but in some new industries diversifying firms are displaced by later-entering de novo firms. Little is known about when and how new firms can overcome the advantages of diversifying firms. This is investigated for one industry, automobiles, where new firms had considerable success. All the entrants into the industry from its inception in 1895 through 1966 are identified. The heritage of every entrant into the industry is traced, including the founders of de novo entrants, to explore how time of entry and pre-entry experience affected firm survival. While diversifying firms on average outperformed de novo entrants, de novo entrants founded by individuals that worked for the leading automobile firms outperformed all firms and dominated the industry. This is attributed to the novel organizational challenges faced by automobile firms, which made the leading firms ideal training grounds for new entrants. The implications of these findings for firm capabilities, industry competition and regional economic development are discussed.  
  Publisher Place of Publication Editor  
  Language Summary Language Original Title  
  Series Editor Series Title Abbreviated Series Title  
  Series Volume Series Issue Edition  
  ISSN 0960-6491 ISBN Medium  
  Area Expedition Conference  
  Notes Approved no  
  Call Number CMU @ sk3f @ Serial 7  
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