@article{pervan2017influence,
  title = {The Influence of Age on Firm Performance: Evidence from the Croatian Food Industry},
  author = {Maja Pervan and Ivica Pervan and Marijana Ćurak},
  year = 2017,
  url = {https://ibimapublishing.com/articles/JEERBE/2017/618681/},
  journal = {Journal of Eastern Europe Research in Business and Economics},
  volume = 2017,
  pages = 9,
  doi = 10.5171/2017.618681,
  abstract = {Among various firm-specific factors influencing profitability, firm’s age is confirmed as an important one. However, most of the empirical research in this field has been done in developed countries, while the influence of firm’s age on its performance in developing countries is examined in much lesser extent. Thus, in order to give contribution to this subject and enrich the understanding of firms’ performance as firms get older, this paper performs dynamic panel analysis based on a sample of 956 firms operating in Croatian food industry during the 2005-2014 period. The result of the analysis showed that age negatively affects firm’s performance. As firms get older, benefits of their accumulated knowledge in all crucial aspects of the business (technology, supply channels, customers relations, human capital and financing costs) become overcome with their inertia, inflexibility and osseous by accumulated rules, routines and organizational structure. Beside firm’s age, other firm-specific factors influencing profitability of the firms operating in Croatian food industry include size, liquidity and solvency.},
  keywords = {business success, firm’s age, performance, food industry, Croatia},
  note = Article ID: 618681
}