Thresholds for Young Firms' Growth through Making New Plant Entry: Same vs. Another industry

This paper investigates why young start-ups choose to grow by making a new plant entry into same or another industry instead of increasing the size of the current plant. We develop hypotheses and test if size efficiency as well as industrial and regional market sizes that the young firms operate within create any effect, controlling for other factors. We found that the explanatory variables, in most cases, have significant but sometime contrasting effects on new plant entry decisions.