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  • Business creation and employment
    17 May 2011, by Bernard Zimmern

    In the late 70s, an MIT researcher shook the whole world of economists by showing that large firms, those that make the media buzz, those who made the Fortune Magazine cover page, does not create jobs but lose them and that employment is created primarily by small companies and even the very small.
    When David Birch invented the new discipline of business demography, he was not arguing that large companies do not create jobs but as a category, they destroy more jobs than they create. (...)

  • France : Twice less businesses, three times less employment created than in Germany
    26 May 2011, by Rose Blackburry

    Is this the best kept statistical secret in France? These figures are not found on Eurostat where newly created businesses and jobs appear similar for France and Germany.
    On the contrary, French official statements celebrate the success of start-ups creation without taking into consideration that almost all companies being created are without employee, so that we do not know whether these companies are empty shells.
    To avoid this, several international statistics agencies, including (...)

  • French unemployment continues to rise
    15 June 2012, by Nathalie DROAL

    Despite all President Sarkozy’s efforts, unemployment has continuously increased since 2007. That is unfortunately the conclusion we draw from DARES and international statistics.
    Eurostat data shows a French unemployment rate at 9,7%, compared to 8,4% in 2007, which means an increase of more than 15%. But it is far from taking into account all the unemployed people. It follows the narrow International Labour Organisation (ILO) definition. In application of the international definition (...)

  • USA: Employment in start-ups depends strongly on the initial size
    23 September 2011, by Emmanuel Darche

    During the recent financial crisis, many redundancy plans occurred in France: Molex, Caterpillar, Goodyear ... Job destructions, often by hundreds, are indeed frightening. But the media coverage of these social plans and their related conflicts, should not obscure the fact that jobs destruction are taking place by thousands whatever the economic environment, and, at the same time there are also jobs creation by thousands. What is the balance of jobs creation and destruction? And what are (...)

  • High Growth Firm in France
    20 January 2012, by Romain Sautard

    IRDEME, with the help of the pH Group (Experian), performed a study on the high growth firm in France (see definition below). It is the first time that such a study is done for France. Indeed, even OECD which has developed an observatory of high growth firm does not have data on such French companies as this kind of companies is not tracked by INSEE (French statistics office).
    Definition of High Growth Firms
    The most dynamic companies, called High Growth Firms (HGF) have the following (...)

  • GLOBAL ENTREPRENEURSHIP MONITOR PROJECT
    25 May 2011, by Romain Sautard

    The Global Entrepreneurship Monitor (GEM) project began in 1999 and is a unique research project which annually measures entrepreneurial activity in many countries. The project also aims to study the relationship between entrepreneurship and economic growth. Fifty-nine countries participated in the GEM twelfth edition in 2010. The Kauffman Foundation, the Babson College , USA, and the London Business School are one of the three main founders of the GEM project.
    This project aims to (...)

  • The Medium-Sized Companies lose jobs… as the other companies
    19 September 2011, by Rose Blackburry

    After all the advertising done about MSCs (medium-sized companies, 250 to 2,000 employees), we wondered if these companies could be the salvation for the French economy and play the same role that they have in Germany, in the Mittelstand. For this purpose, we looked at the evolution of companies listed as MSC in 2004 and the following years (2004 to 2009).
    MSCs and job destruction
    The results obtained are consistent with those published by the Banque de France: MSC lose existing jobs (...)

  • Study on small enterprises born in 2004
    26 May 2011, by Rose Blackburry

    Definition of Small Enterprises (as defined by the European Community) an Small and Medium Enterprises
    The Small Enterprises (SEs) have the following characteristics: Less than 50 employees Turnover or equity less than 10M€
    The Small and Medium Enterprises (SMEs) have the following characteristics: Less than 250 employees Turnover less than 50M€ or equity less than 43M€
    Main results
    The data used in this study include all French firms defined as SEs by the European Community (...)

  • French firms dwarfism (2)
    13 March 2012, by Romain Sautard

    The number of firms born without employees has been exploding in France but those born with employees, employer firms, have been steadily and ridiculously half Germany and UK

  • Equity capital and companies’ strength
    25 November 2011, by Romain Sautard

    In this period of doubts and uncertainty in the global economy we are facing these latter weeks, and that had reached its peak last week with the announce of the Greek referendum (aborted) and the resignation from Papandréou in Greece and Berlusconi in Italy, it is important to have indicators allowing to know if European economies are strong enough to face an important crisis.
    One of these indicators could be the amount of equity capital of the companies of a country. Indeed, equity (...)