Towards a Better Understanding of High-Growth Technology Firms
<p>High-growth has long been of interest to management academics, as they seek to understand how uncharacteristically high periods of revenue or employment growth occur, and the effects they have on firms, and the wider economy. However, despite the ongoing interest in the field, there have not been conclusive studies that are able to piece together all of the factors that may play a role in the occurrence of high-growth, and therefore there is still relatively little understanding of how and when high-growth occurs, and what control firms may have over such growth. This mixed-methodology research uses both quantitative analysis of high-growth patterns, and qualitative interviews with relevant firms to explore the factors commonly associated with high-growth. This allows for a better understanding of how high-growth may occur. The findings indicate that high-growth is typically the product of interactions between a range of factors. The most influential factor on high-growth appears to be the competence, expertise, and experience of those managing the firm, either in a directorial or managerial capacity. The findings also indicate that, while high-growth may not be entirely predictable, there are commonalities between the high-growth patterns that technology firms experience, such as the receiving of patents, or even inclusion in the TIN100 database. Overall, this research found that there appears to be much greater diversity in high-growth than previous literature tends to suggest. The research concludes with practical implications of these findings for firms and managers of these findings, as well as suggesting directions for future research in the field.</p>