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Social Proximity and Firm Performance: The Importance of Family Member Ties in Workplaces
Umeå University, Faculty of Social Sciences, Department of Geography and Economic History.ORCID iD: 0000-0002-7179-347X
Umeå University, Faculty of Social Sciences, Department of Geography and Economic History.ORCID iD: 0000-0003-3570-7690
Umeå University, Faculty of Social Sciences, Department of Geography and Economic History.ORCID iD: 0000-0003-2796-3547
(English)In: Regional Studies, Regional ScienceArticle in journal (Refereed) Accepted
Abstract [en]

This study empirically assesses the role of social proximity, defined as the concentration of family members (FM) in firms, on firm performance. Based on longitudinal micro-data for the period 1995-2010 connecting information on workers and their workplaces in the Swedish labour market, the effects of FM (parents, children, siblings and grandparents) on per capita productivity in 15,359 firms were analysed. Our results indicate that FM positively affects firm performance. In particular, the results suggest that in specialized regions (mainly small regions) FM has a positive influence on performance and can thus compensate for relative shortage of regional agglomeration economies.   

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Social and Economic Geography
Identifiers
URN: urn:nbn:se:umu:diva-120737OAI: oai:DiVA.org:umu-120737DiVA: diva2:929713
Funder
Riksbankens Jubileumsfond
Available from: 2016-05-19 Created: 2016-05-19 Last updated: 2016-05-19

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Adjei, EvansEriksson, RikardLindgren, Urban
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