This study examines the relationships between three aspects of industry dynamics-firm growth, probability of survival, variability of firm growth - and firm specific characters, based on an expanded model of Evans's (1987) growth model. This paper analyzes the effect of a propotional increase in firm age and size on firm growth, survival probability, variability of growth. Statistical results show that firm growth decreases as firm size and age increase. Therefore, Gibrat's law is not statstically accepted, and whereas Jovanovic's law is statstically accepted. Statistical analyses reveal that the survival probability of affilatied firms is not significantly different from that of non-affiliated firms. Thus, it can be inferred that inefficient affilatied firms have exited as many as incompetent non-affiliated firms have been bankrupt in the process of dynamic market competition.

Keywords: Gibrat's law, Jovanovic's law, Firm Growth, Survival, and Variability of Growth