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Explaining divergence in catching-up in pharma between India and Brazil using the NSI framework

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  • Guennif, Samira
  • Ramani, Shyama V.

Abstract

Since the mid-twentieth century, the national objective of India and Brazil has been to develop industrial capabilities in essential sectors such as pharmaceuticals. At the outset they shared some common features: a considerable period of lax intellectual property rights regimes, a large internal market and a reasonably strong cadre of scientists and engineers. However, over sixty years, India has had much more success in building indigenous capabilities in pharmaceuticals than Brazil, at least to date. Why? In exploring the answer to this question we show that in both countries the design of State policy played a crucial role and the endogenous responses in the national system of innovation consisted of two parts. On the one hand, most of the time, the predicted and desired outcome was partially realized and on the other hand, there were invariably, other unpredicted responses that emerged. The latter unexpected elements, which were specific to the two countries, pushed them along distinctive trajectories.

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Bibliographic Info

Article provided by Elsevier in its journal Research Policy.

Volume (Year): 41 (2012)
Issue (Month): 2 ()
Pages: 430-441

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Handle: RePEc:eee:respol:v:41:y:2012:i:2:p:430-441

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Web page: http://www.elsevier.com/locate/respol

Related research

Keywords: Pharmaceutical industry; India; Brazil; Industrial capabilities; Catch-up; National system of innovation;

References

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  1. André Nassif, 2007. "National Innovation System And Macroeconomic Policies: Brazil And India In Comparative Perspective," UNCTAD Discussion Papers 184, United Nations Conference on Trade and Development.
  2. Chittoor, Raveendra & Ray, Sougata & Aulakh, Preet S. & Sarkar, M.B., 2008. "Strategic responses to institutional changes: 'Indigenous growth' model of the Indian pharmaceutical industry," Journal of International Management, Elsevier, vol. 14(3), pages 252-269, September.
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  7. Ramani, Shyama V., 2002. "Who is interested in biotech? R&D strategies, knowledge base and market sales of Indian biopharmaceutical firms," Research Policy, Elsevier, vol. 31(3), pages 381-398, March.
  8. Athreye, Suma & Kale, Dinar & Ramani, Shyama V., 2008. "Experimentation with Strategy and the Evolution of Dynamic Capability in the Indian Pharmaceutical Sector," MERIT Working Papers 041, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
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  11. Dinar Kale & David Wield, 2008. "Exploitative and Explorative Learning as a Response to the TRIPS Agreement in Indian Pharmaceutical Firms," Industry and Innovation, Taylor & Francis Journals, vol. 15(1), pages 93-114.
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  14. Lall, Sanjaya, 1974. "The International Pharmaceutical Industry and Less-Developed Countries, with Special Reference to India," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 36(3), pages 143-72, August.
  15. Freeman, Chris, 1995. "The 'National System of Innovation' in Historical Perspective," Cambridge Journal of Economics, Oxford University Press, vol. 19(1), pages 5-24, February.
  16. Abramovitz, Moses, 1986. "Catching Up, Forging Ahead, and Falling Behind," The Journal of Economic History, Cambridge University Press, vol. 46(02), pages 385-406, June.
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Cited by:
  1. Chung, Chao-chen, 2013. "Government, policy-making and the development of innovation system: The cases of Taiwanese pharmaceutical biotechnology policies (2000–2008)," Research Policy, Elsevier, vol. 42(5), pages 1053-1071.

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