Using Simulation Experiments to Test Historical Explanations: The Development of the German Dye Industry 1857–1913

Item Type Book Section
Abstract

In a simulation experiment, building on the abductive simulation approach of Brenner and Werker (2007), we test historical explanations for why German firms came to surpass British and France firms and to dominate the global synthetic dye industry for three decades before World War 1 while the U.S. never achieved large market share despite large home demand. Murmann and Homburg (2001) and Murmann (2003) argued that German firms came to dominate the global industry because of (1) the high initial number of chemists in Germany at the start of the industry in 1857, (2) the high responsiveness of the German university system and (3) the late (1877) introduction of a patent regime in Germany as well as the more narrow construction of this regime compared to Britain, France and the U.S. We test the validity of these three potential explanations with the help of simulation experiments.  The experiments show that the 2nd explanation—the high responsiveness of the German university system— is the most compelling one because unlike the other two it is true for virtually all plausible historical settings.

Authors Brenner, Thomas & Murmann, Johann P.
Language English
Subjects business studies
HSG Classification contribution to scientific community
Date 17 November 2017
Publisher Springer
Title of Book Foundations of Economic Change
ISBN 978-3-319-62009-1
Official URL https://www.springer.com/de/book/9783319620084
Contact Email Address peter.murmann@unisg.ch
Depositing User Michele Kölbener
Date Deposited 23 Oct 2018 13:26
Last Modified 08 Jun 2021 00:25
URI: https://www.alexandria.unisg.ch/publications/255464

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Citation

Brenner, Thomas & Murmann, Johann P.: Using Simulation Experiments to Test Historical Explanations: The Development of the German Dye Industry 1857–1913. In Foundations of Economic Change. Springer, 2017,

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https://www.alexandria.unisg.ch/id/eprint/255464
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