The size–growth relationship in the social services sector in Austria

Stephanie Reitzinger, Astrid Pennerstorfer

Publication: Scientific journalJournal articlepeer-review

7 Downloads (Pure)


The social services sector is among the fastest-growing industries, but it has gained
little attention in the debate regarding frm growth. This article analyzes frm growth
in relation to frm size using payroll expenses as our indicator for both frm growth
and frm size. We apply structural equation modeling and full maximum likelihood
estimation using Austrian data comprising all non-proft social service providers.
After 2013, fewer frms have been entering and more have been exiting the sector;
however, we fnd that growing in size is still not associated with higher growth rates.
Our study emphasizes the role of small organizations in remaining a growth sector.
Original languageEnglish
Pages (from-to)445 - 466
JournalService Business
Issue number3
Publication statusPublished - 2021

Austrian Classification of Fields of Science and Technology (ÖFOS)

  • 502023 NPO research
  • 509012 Social policy

Cite this