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Inter-firm collaboration in new product development in Chinese pharmaceutical companies

Author

Listed:
  • Xiaoqing Li

    (Brunel University London)

  • Yu Zheng

    (University of London)

  • Catherine L. Wang

    (University of London)

Abstract

High-tech firms increasingly rely on inter-firm collaboration (IFC) in new product development (NPD). While there is a growing research interest in exploring the economic rationale of IFC through the transaction cost economics (TCE) and the resource synergy of IFC through the resource-based view of the firm (RBV), little attention has been given to the institution-based view (IBV) that also has important implications for firms’ choice of IFC. In particular, how national institutional environment affects IFC in the NPD process remains under-researched. This study aims to contribute to the literature by extending our understanding of the role of IFC in firms’ NPD process, taking into account transactional, resource, and institutional factors. Based on a case study of two firms: a state-owned and a private pharmaceutical firm in China, our research identifies three key forms of IFC, which are dynamic at different stages of NPD and contingent upon an array of institutional, resource, and transactional rationales underpinning firms’ choice of different forms of IFC. Our study is the first one that investigates the role of IFC in the NPD process bringing together the IBV, RBV, and TCE perspectives.

Suggested Citation

  • Xiaoqing Li & Yu Zheng & Catherine L. Wang, 2016. "Inter-firm collaboration in new product development in Chinese pharmaceutical companies," Asia Pacific Journal of Management, Springer, vol. 33(1), pages 165-193, March.
    • Handle: RePEc:kap:asiapa:v:33:y:2016:i:1:d:10.1007_s10490-015-9451-y
    DOI: 10.1007/s10490-015-9451-y
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    2. Hebatallah Mostafa Ali, 2021. "Determine New Product and Service Development in Health Ecosystems in Malaysia in conjunction with the new crisis," Technium Social Sciences Journal, Technium Science, vol. 17(1), pages 155-159, March.
    3. repec:thr:techub:10017:y:2021:i:1:p:155-159 is not listed on IDEAS
    4. Zhou, Xinmiao & Qian, Huanhuan & Pérez-Rodríguez, Jorge. V. & González López-Valcárcel, Beatriz, 2020. "Risk dependence and cointegration between pharmaceutical stock markets: The case of China and the USA," The North American Journal of Economics and Finance, Elsevier, vol. 52(C).
    5. Doren Chadee & Revti Raman Sharma & Banjo Roxas, 2017. "Linking and leveraging resources for innovation and growth through collaborative value creation: A study of Indian OSPs," Asia Pacific Journal of Management, Springer, vol. 34(4), pages 777-797, December.
    6. Colin C. J. Cheng & Eric C. Shiu, 2021. "Establishing a typology of open innovation strategies and their differential impacts on innovation success in an Asia-Pacific developed economy," Asia Pacific Journal of Management, Springer, vol. 38(1), pages 65-89, March.
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