Statistical Properties of Business Firms Structure and Growth
Physics and Society
2009-11-11 v1 General Finance
Abstract
We analyze a database comprising quarterly sales of 55624 pharmaceutical products commercialized by 3939 pharmaceutical firms in the period 1992--2001. We study the probability density function (PDF) of growth in firms and product sales and find that the width of the PDF of growth decays with the sales as a power law with exponent . We also find that the average sales of products scales with the firm sales as a power law with exponent . And that the average number products of a firm scales with the firm sales as a power law with exponent . We compare these findings with the predictions of models proposed till date on growth of business firms.
Keywords
Cite
@article{arxiv.physics/0502081,
title = {Statistical Properties of Business Firms Structure and Growth},
author = {Kaushik Matia and Dongfeng Fu and Sergey V. Buldyrev and Fabio Pammolli and Massimo Riccaboni and H. Eugene Stanley},
journal= {arXiv preprint arXiv:physics/0502081},
year = {2009}
}