NEWSRELEASE
For Release: March 10, 2006
Contact: Kathy Tobias, (202) 205-6938
kathryn.tobias@sba.gov
SBA Number: 06-07 ADVO
Small Fast Growing Private Firms Cluster In Industries
Employing Scientists And Engineers
Industry Conditions Help Determine The Role Of Entrepreneurs
WASHINGTON, D.C. - Small fast growing private firms cluster in industries employing a high percentage of scientists and engineers, according to a new report issued today by the Office of Advocacy of the U.S. Small Business Administration. Conversely, as industries mature, large fast growing public firms that have more sales, distribution, and production employees predominate.
“Entrepreneurs play an important role in our economy, and that role clearly differs by industry,” said Dr. Chad Moutray, Chief Economist for the Office of Advocacy. “It has always been a tenet of economic theory that industry conditions can help to determine the role of entrepreneurs. Now, using a unique data set, the theory has been tested and found to be correct.”
The report,
Innovation and Small Business Performance: Examining the Relationship Between Technological Innovation and the Within-Industry Distributions of Fast Growth Firms, written by Peregrine Analytics with funding from the Office of Advocacy, used Inc. magazine’s “Inc. 500” as an important source of data for its findings.Among the report’s findings:
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Distribution of large, high growth established firms and small, high growth private firms is not even across industries.The Office of Advocacy, the “small business watchdog” of the government, examines the role and status of small business in the economy and independently represents the views of small business to federal agencies, Congress, and the President. It is the source for small business statistics presented in user-friendly formats and it funds research into small business issues.
For more information, visit the Office of Advocacy website at
www.sba.gov/advo.###
The Office of Advocacy of the U.S. Small Business Administration (SBA) is an independent voice for small business within the federal government. The presidentially appointed Chief Counsel for Advocacy advances the views, concerns, interests of small business before Congress, the White House, federal agencies, federal courts, and state policy makers. For more information, visit
www.sba.gov/advo, or call (202) 205-6533.