Organizational Learning in Cooperative Alliances: Some Case Studies in Biotechnology

Dedicated biotechnology firms (DBFs) have played an important role in commercializing biotechnology. They emerged first in the US and, after a 5-year time lag, they also appeared in Europe. Faced with long and costly product lead times, DBFs raised money by entering into research contracts, mainly with large chemical and pharmaceutical companies. These coopertive research alliances have not vanished as biotechnology has matured and are more in evidence today than they were in the early dasy of the commercialization of biotechnology. This paper investigates how and why large and small companies enter research collaborations, what they learn from working together, and the effects on European competitiveness.     

The conditions for the development of a biotechnology industry in Portugal: the impact of country specific factors

The innovation style of a country is dependent upon its distinctive capabilities and its government' policies. Three basic factors are involved: its scientific capabilities, its infrasturcture for transferring research from the public domain into industry, and its manufacturing base and industrial know-how. Most research looks at these three factors in relation to advanced economies, Asian Newly Industrialized Countries (NICs) and 'third world' countries. This paper addresses these issues from the perspective of a European late-industrializing country (Portugal). It uses the twin ideas of National Innovation Systems and 'technological systems' to analyze the development of biotechnology in Portugal. In so doing it illustrates the impact of country specific factors on this development, and the problems assoicated with 'imitation'. The focus of the research is on Dedicated Biotechnology Firms (DBFs), as they are seen as intermediaries between the public science base and the productive sector. It examines the evolution of the biotechnology industry in Portugal, provides an overview of govermment policies, and finally discusses the implications for the creation and development of DBFs in Portugal. The research shows that there was a government effort to create a science base in this field, but there was no parallel strategy to develop a biotechnology industry. There was (and still is) little incentive to use the results of biotechnological research, and little match between technological and market opportunities. In conclusion, the paper argues that policies should be developed to bridge the gap between public research and industry. This will require mechanisms that, going beyond the notion of 'technology transfer', promote an effective transformation of advanced knowledge intergrated into products and services,a nd facilitate the dialogue and exchange between groups with diverse capabilities, objectives and languages.     

Research Strategies in Science-based Start-ups: Effects on Performance in Danish and Swedish Biotechnology

Although biotech start-ups fail or succeed based on their research, few attempts have been made to examine if and how they strategise in this core activity. Using a unique comprehensive dataset on Danish and Swedish biotech start-ups in drug discovery this paper adopts a Simonean approach to analysing the research strategies of small dedicated biotech firms (DBFs), focusing on three interrelated issues: (i) characterising the problem architectures addressed by different types of DBFs; (ii) testing and confirming that DBFs form requisite research strategies, by which we refer to problem-solving approaches developed as congruent responses to problem architectures; and (iii) testing and confirming that financial valuation of firms is driven by achievements conforming to requisite research strategies. These strategies, in turn, require a careful combination of multiple dimensions of research. The findings demonstrate that Schoonhoven's argument that 'strategy matters' is valid not only for the larger high-tech firms covered by her study, but also for small research-based start-ups operating at the very well-springs of knowledge where science directly interacts with technologies. Although more research is needed along these lines, these findings offer new implications for the understanding, management and financing of these firms.     

The evolution and performance of biotechnology regional systems of innovation

The paper maintains that biotechnology regions develop as complexsystems: they start with star scientists in research universities,generating knowledge spillovers, then move progressively towardsregional technology markets. In the process they attract venturecapital (or modify the behaviour of existing venture capitalfirms with the addition of biotechnology portfolios). The routinesof universities are also modified with the addition of intellectualproperty and technology transfer offices intervening as sellersin the newly created knowledge markets. The paper also considerswhether companies located in regional agglomerations grow fasterthan isolated ones, and whether companies spun-off from universitieshave a better performance than start-ups. The study is basedon about 90 Canadian-based publicly quoted biotechnology companies.     

Does a clustered location matter for high-technology companies' performance? The case of biotechnology in the Netherlands

Young entrepreneurial companies in biotechnology tend to cluster in space, nearby research universities and research centers. This pattern is often ascribed to the availability of external economies, mainly local knowledge spillovers that help to reduce the uncertainty from a disruptive technology faced by these companies. Given a shortage of empirical research on cluster advantages and performance of clustered companies, we present results of a comparative analysis of clustered and non-clustered companies in biotechnology and Bionanotechnology in the Netherlands. It appears that, among other influences, a clustered location has no significant influence on innovation and speed of growth. However, a location in the largest cluster (Leiden) does contribute to a better performance in terms of innovativeness compared with all other locations. The kind of external economies involved seems to vary according to the stage in the knowledge value chain and the segment in biotechnology industry. Knowledge spillovers tend to be local for companies involved in new drugs and diagnostics research only in the first stage of the knowledge chain and for service companies regardless of the stage in the knowledge chain.     

Transitional Adjustment of Large Companies in Slovenia and Economic Policy

This article analyses transition crisis in large companies using the case of Slovenia. According to the accounting data for 1991 and 1997 a great part of the transition crisis was centred in large companies. In Slovenia, in general crisis conditions in large companies arose because of a very high or very low capital/labour ratio and the inability of management to cope with redundant capital or labour. Only recently have unfavourable market and financial positions become more important, but they are still not the most important factor. Companies which oriented themselves to foreign markets and invested, succeeded in making profits in spite of increased debts and an unfavourable debt/equity ratio. Large companies in state ownership have preserved soft budget constraints. Many companies shrank drastically; they have survived, but their efficiency is low.     

Economies of scale in Norwegian electricity distribution: a quantile regression approach

In this article, we investigate scale economies in Norwegian electricity distribution companies using a quantile regression approach. To the best of our knowledge, this is the first attempt to apply this estimation technique when analysing scale economies. We estimate the cost elasticities of the two output components: network length and number of customers, to calculate returns to scale. Our results show large potential of scale economies, particularly for the smallest companies. We also find that returns to scale is increasing over time. These findings have important implications for policymakers when they are deciding the structure of the industry in the future.     

美国、欧盟和日本生物技术产业政策研究

文章分析研究了美国、欧盟和日本的生物技术产业发展进程、所取得的成就,特别是三国为鼓励和推动其生物技术产业发展所制定和实施的产业政策。其研究可为我国政府制定相关产业发展政策提供借鉴和参考依据。     

Biotechnology: the emerging battlefield for US and Japanese pharmaceutical companies

The Japanese pharmaceutical industry has lagged behind the US in developing and marhting innovative new compounh. A gap anabsis rebing on international publication and patenting stahtics as well as market survgs shows that the US is the clear leader in biophannaceuticals. Recent Japanese public and private efforts to close the gap have posed no immediate threat to US pharmaceutical companies. The conflict over industrial policy among the ministries involved will take some time to be resolved. However, information networking activities and cross-border technology linkages of Japanese companies should not be underestimated. Biotechnology is current4 transforming theJapanese pharmaceutical induse, and the US will have to deal with a gowing Japanese challenge in the long run. Preventive US counter-measures should include investments in in-house biotechnology research, acquisitions of smaller biotechnology start-up ventures, global commercialization o f biophannaceuticals, and proactive management o f technology linkages with Japanese companies.     

Rational drug design, the knowledge value chain and bioscience megacentres

This paper seeks to trace important shifts and cluster evolutionin the healthcare industry. Its key aim is to examine the implicationsof the rise of science-based clusters for economic geographyand related policies. A special focus is biosciences and therise of ‘biologics’ more generally at the expenseof fine chemistry in drug development. The old agglomerationsof pharmacy are no longer leaders in knowledge exploration,as universities, research laboratories and medical schools takeover research, they are beginning to lose prominence to dedicatedbiotechnology firms (DBFs) in knowledge examination, and retaintheir most important involvement as financiers and marketersof DBF exploitation knowledge. This has profound geographicalas well as industry organisation equilibrium effects. Over-concentrationof the bioscientific knowledge value chain has given rise tothe new spatial policy practice of developing regional sciencestrategies. Aspects of these are commented upon.     

美国生物技术企业市场定价及启示

生命科学和生物技术行业不断凸现出投资价值,其日益受到证券市场的青睐,生物技术公司成为了投资者追捧的对象.由于该产业在我国的发展刚刚起步,企业在获取投资者认可等方面还存在很多问题.通过对美国生物技术行业主要上市公司的数据分析,探索了该类企业在证券市场定价的一般规律.     

Export strategies in the computer industry: Japan and the USA

Japan's computer manufacturers realize that they need more than a new generation of software (or hardware) for success in world markets. The missing ingredients are primarily multinational busines experience factors, which have worked to the past advantage of US companies. Japan's past export successes — textiles, steel, consumer electronics—have come with products that, unlike computers, could be sold through existing distribution channels. Realizing their disadvantages in selling computer systems worldwide, the Japanese designed the heavily publicized fifth-generation project seeking technology that could serve as a wedge into markets where US-based multinationals had already become firmly entrenched. For this as for other joint government-industry R&D projects in Japan, the indirect effects will be at least as important as the technological outcomes; asking whether the fifth-generation project could have reached particular technical objectives poses the wrong question. In terms of technological capability, Japan could emerge as a formidable rival of the USA in world computer markets. Given the international presence of US companies large and small, this will not be as quick or as easy as in other Japanese export industries: Japan will continue to have far more difficulty exporting computer systems than VCRs or integrated circuits.     

At the Interfaces of Governance and Competence Perspectives: Discussing Organizational Choices in the Scottish Biotechnology Cluster

This paper focuses on the desirability of different modes of governance in the context of the Scottish biotechnology cluster. The objective is to design theoretical models able to predict organizational choices made by firms seeking access to key complementary assets. Inspiration is drawn from two distinct streams of research: transaction cost economics and the competence perspective. The procedure adopted replicates the static and comparative approach used in several empirical investigations by transaction cost economics. However, as in a competence perspective, 'strategizing' behaviour is taken into account. The data needed to run econometric analysis have been collected via mail surveys based on the completion of a questionnaire. Valid responses were provided by 31.2% of an original sample that was composed of a range of organizations including dedicated biotechnology firms, equipment and service providers, clinical research organizations, etc. Empirical results show that both transaction cost and competence-related consideration help explain the selection of specific governance modes. However, Scottish biotechnology companies seem to be predominantly concerned with enhancing existing competences.     

Alternate signs of life: The growth of biotechnology industries in Shanghai and Bangalore

This paper explores the emergence of biotechnology centers in Shanghai and Bangalore by comparing their development to best practices in the literature for biotechnology cluster growth and development. Interviews with over fifty biotech companies and related institutions in China and India indicate that these regions are developing alternate models of low cost manufacturing and services that build on the current local base of knowledge and expertise. The ability to convert research into successful commercial activity was identified in both regions. The strong research capacity, private sector funding, and entrepreneurial environment deemed critical best practices were limited. New growth theory is used to explain these alternate approaches to technological and social change.     

Genetic engineering in agriculture: New approaches for risk management through sustainability reporting

Genetically modified crops and foodstuff have been highly controversial for environmental, health, and ethical reasons. The controversies have been worldwide, but most prominent in the European Union, for reasons that include distrust of the regulatory authorities, scientists and technocratic decision making. An informal moratorium in the EU came recently to an end, without solving the underlying problems. In response to the criticisms, the European governments have attempted to improve the risk assessment methods and their scientific basis, and to tailor public policies to the growing demand for transparency, accountability, and public participation.This paper proposes a novel approach to including the public in evaluating the impacts of food and agricultural biotechnology and present and future applications modeled after the growing practice of sustainability reporting by companies. The most visible among those, Global Reporting Initiative (GRI), when implemented properly, includes a wide range of stakeholders, including the financial institutions, companies, NGOs and the civil society, in an interactive multi-stakeholder discourse and collaboration. The reporting exercise would open the discussion about the R&D around new GMO products, and could mitigate potential adverse effects in an early stage (Constructive Technology Assessment). We specifically propose initiating a broadly based societal initiative aimed at developing of a new sectoral supplement of GRI Guidelines, specifically designed for the food and agricultural biotechnology sector.This approach can be conceptualized as experimentation on a small scale with a multitude of stakeholders involved (Bounded Socio-Technical Experiment or BSTE) which is an effective venue for higher-order learning among participants. Sustainability reports and BSTEs have been so far applied in limited cases, none of which included highly controversial technologies such as biotechnology; they need further elaboration and testing to become possibly highly effective concepts and tools for mitigating conflicts on the societal implications of emerging technologies, and to lead to better public policies and greater social trust.     

Biotechnology Development in Spain: A Change of Paradigm?

This article presents a quantitative and qualitative analysis of the Spanish biotechnology sector, including its scientific, business, policy and social aspects. The study differentiates two sub-sectors, considered to be the most representative: Biopharma and Agro-food. The results show that biotechnology development in Spain has entered a new phase. Traditionally, research and development in Spain followed an unstructured path built around regional spaces and driven by factors and influences external to Spain. However, the emergence of a fast-growing sector of spin-off companies from the public research system, specifically in the Biopharma sector, points to a change of model of development of the industry, on the national as well as the regional level. The data also show the key role which public policy plays in creating a suitable framework for innovation and point to the need of analyzing the influence of social and cultural factors on the development of the biotechnology sector.     

Biotechnology Development in Spain: A Change of Paradigm?

This article presents a quantitative and qualitative analysis of the Spanish biotechnology sector, including its scientific, business, policy and social aspects. The study differentiates two sub-sectors, considered to be the most representative: Biopharma and Agro-food. The results show that biotechnology development in Spain has entered a new phase. Traditionally, research and development in Spain followed an unstructured path built around regional spaces and driven by factors and influences external to Spain. However, the emergence of a fast-growing sector of spin-off companies from the public research system, specifically in the Biopharma sector, points to a change of model of development of the industry, on the national as well as the regional level. The data also show the key role which public policy plays in creating a suitable framework for innovation and point to the need of analyzing the influence of social and cultural factors on the development of the biotechnology sector.     

日本农业领域生物技术的研究开发与应用

进入新世纪,日本将生物技术产业纳入国家经济发展的最重要产业之一,政府和民间通过各种方式全力推进其技术研发和成果产业化进程。 在农业领域,日本虽然在基因育种等个别领域起步较晚,但凭借其在尖端技术研发和资金投入等方面的实力,农业生物技术的研发水平在短期内迅速提高,综合研发能力和许多单项技术水平已处于世界前列。基因组研究和转基因技术开发不断取得突破性进展,功能食品开发成果显著,胚胎移植和克隆技术已实际应用,利用不同生物手段育成大量的动植物新品种。许多研发成果已成功转化并实现产业化,生物技术在日本的现代化农业中起愈加重要的作用。 本文概述了目前日本农业生物技术的发展战略和政策措施,以及种植、畜产、水产等六大领域生物技术的研发现状和最新进展,并对农业生物技术主要研发机构的情况作了简要介绍。