Strategic integration of knowledge in Indian pharmaceutical firms: creating competencies for innovation

Chaturvedi, Kalpana and Chataway, Joanna (2006). Strategic integration of knowledge in Indian pharmaceutical firms: creating competencies for innovation. International Journal of Business Innovation and Research, 1(1-2) pp. 27–50.

DOI: https://doi.org/10.1504/IJBIR.2006.011087

Abstract

Trade liberalisation and changes in the Intellectual Property Rights (IPR) have fashioned new dynamics in the pharmaceutical industry across
the globe. Firms are forced to bring changes to their research, innovation, technology and marketing practices by a reconfiguration of their competencies and resources. The most common strategic concern that Trade Related Aspects of Intellectual Property Rights (TRIPs) has raised for Indian firms is the perceived need for R&D and technological strength. For firms that have given
little attention to research and innovation in the past, this transition is very difficult. Indian firms have responded to these changes in novel and complex
ways. Employing firm-level case studies, this paper examines the contemporary strategic approaches adopted by Indian leaders for integrating new knowledge and capabilities in order to develop innovation competencies for tomorrow. Using empirical evidence from firm-level investigations, this paper shows how Indian firms are evolving from reverse engineering outfits catering to
domestic market to technologically advanced and sophisticated organisations capable of catering to diverse markets.

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