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Factors Affecting Biotechnology Innovation in Canada: Analysis of the 2001 Biotechnology Use and Development Survey

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Author Info

  • van Moorsel, Daryl
  • Cranfield, John A.L.
  • Sparling, David

Abstract

Advancement in biotechnology requires continued innovative activity by firms. To grow, biotechnology firms must understand the factors affecting their innovative activity. Such understanding also informs policy makers, and supports the development of policies promoting one's biotechnology sector. This study explores factors which determine innovative activity within the Canadian biotechnology industry. Innovative activity is measured as the natural log of the number of products/processes a firm has at different stages of the innovation spectrum. A model is developed to regress this measure on several determinants of innovation. Significant drivers of innovation include: collaborative arrangements, transfer of intellectual property, firm size and age, whether the firm was in the agricultural or human health biotechnology sectors and whether the firm focused on development or commercialization. Generally speaking, these factors all contributed to firms having more products/processes either under development, undergoing clinical trials or regulatory approval, or on the market.

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File URL: http://purl.umn.edu/34121
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Bibliographic Info

Paper provided by University of Guelph, Department of Food, Agricultural and Resource Economics in its series Working Papers with number 34121.

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Date of creation: 2005
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Handle: RePEc:ags:uguewp:34121

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Web page: http://fare.uoguelph.ca/
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Related research

Keywords: innovation; biotechnology; Canada; agriculture; food; human health; Research and Development/Tech Change/Emerging Technologies;

References

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  1. Mohnen,Pierre & Therrien,Pierre, 2001. "How Innovative are Canadian Firms Compared to Some European Firms? A Comparative Look at Innovation Surveys," Research Memorandum 032, Maastricht University, Maastricht Economic Research Institute on Innovation and Technology (MERIT).
  2. Brouwer, E. & Kleinknecht, A., 1995. "Measuring the unmeasurable: a country's non-R&D expenditure on product and service innovation," Serie Research Memoranda 0009, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  3. Scherer, F M, 1982. "Inter-Industry Technology Flows and Productivity Growth," The Review of Economics and Statistics, MIT Press, vol. 64(4), pages 627-34, November.
  4. Sabourin, David & Baldwin, John R., 1999. "Innovative Activity in Canadian Food Processing Establishments: the Importance of Engineering Practices," Analytical Studies Branch Research Paper Series 1999101e, Statistics Canada, Analytical Studies Branch.
  5. Baldwin, John R., 1997. "The Importance of Research and Development for Innovation in Small and Large Canadian Manufacturing Firms," Analytical Studies Branch Research Paper Series 1997107e, Statistics Canada, Analytical Studies Branch.
  6. Cohen, Wesley M & Klepper, Steven, 1996. "Firm Size and the Nature of Innovation within Industries: The Case of Process and Product R&D," The Review of Economics and Statistics, MIT Press, vol. 78(2), pages 232-43, May.
  7. Zvi Griliches, 1990. "Patent Statistics as Economic Indicators: A Survey," NBER Working Papers 3301, National Bureau of Economic Research, Inc.
  8. Najib Harabi, 2002. "The Impact of Vertical R&D Cooperation on Firm Innovation: An Empirical Investigation," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 11(2), pages 93-108.
  9. Nooteboom, B., 1991. "Entry, spending and firm size in a stochastic R&D race," Open Access publications from Tilburg University urn:nbn:nl:ui:12-373055, Tilburg University.
  10. Pierre Mohnen & Pierre Therrien, 2002. "Comparing the Innovation Performance of Canadian Firms and those of Selected European Countries: An Econometric Analysis," CIRANO Working Papers 2002s-80, CIRANO.
  11. Alfred Kleinknecht & Kees Van Montfort & Erik Brouwer, 2002. "The Non-Trivial Choice between Innovation Indicators," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 11(2), pages 109-121.
  12. Traore, Namatie & Rose, Antoine, 2003. "Determinants of biotechnology utilization by the Canadian industry," Research Policy, Elsevier, vol. 32(10), pages 1719-1735, December.
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Cited by:
  1. Cranfield, John A.L. & Herath, Deepananda P.B. & Henson, Spencer J. & Sparling, David, 2006. "An Analysis of Financing Innovation and Commercialization in Canada's Functional Food and Nutraceutical Sector," 2006 Annual meeting, July 23-26, Long Beach, CA 21196, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  2. Roucan-Kane, Maud & Gray, Allan W. & Boehlje, Michael, 2011. "Approaches for Selecting Product Innovation Projects in U.S. Food and Agribusiness Companies," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IAMA), vol. 14(4).

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