The Impact of R&D Alliance on the Survival of Newly Listed High Tech Firms

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Macrothink Institute

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This paper investigates the extent to which R&D alliance participation affects the survival performance of newly listed high tech firms. The estimation strategy identifies the impact through changes on a firm's alliance status. Using longitudinal data on high tech firms that had an initial public offering in the United States, results suggest that R&D collaborating firms experience greater survival, relative to non-R&D collaborating firms. In particular, participation in an R&D alliance is associated with an attenuation of delistment due to poor financial performance. Keywords: R&D alliance, Survival, Delistment, High tech firms, Initial public offering

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High technology industries, Success in business, Business -- Research

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Article