Do regional differences matter for firm survival across native and immigrant entrepreneurs? We investigate this question applying a unique data derived from the Chamber of Industrial and Commercial Matters in Munich, Germany. The data consist of 110,250 companies either founded or liquidated during the period 1997-2004. We develop a Gompertz-Makeham hazard model to predict the chances of firm survival. After controlling for individual and environmental characteristics, we found that the performance of German and foreign companies do differ across administrative districts. Indicators such as tax trade collection rate and unemployment rate lead to significant increase in the hazard rate, while the population density and share of foreign population enhance the survival chances. The relationship between survival and agglomeration versus founder's age show an inverted U-shaped pattern. © Springer Science+Business Media, LLC. 2007.

Duration analysis Regional differences Firm survival

modeling unemployment industrial agglomeration regional economy immigrant industrial performance tax system trade entrepreneur