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Internal basic research, external basic research and the technological performance of pharmaceutical firms

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  • Leten, Bart
  • Kelchtermans, Stijn
  • Belderbos, Rene

Abstract

We evaluate the impact of basic research on pharmaceutical firms’ technological performance, distinguishing between internal basic research and the exploitation of external basic research findings. We find that firms increase their performance by engaging more in internal basic research, in particular if basic research is conducted in collaboration with university scientists. The exploitation of external basic research improves performance, while the magnitude increases with firms’ involvement in internal basic research. Hence, internal basic research and the exploitation of external basic research are complements, suggesting that internal basic research provides firms with the skills to exploit external basic research more effectively.

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Bibliographic Info

Paper provided by Katholieke Universiteit Leuven in its series Open Access publications from Katholieke Universiteit Leuven with number urn:hdl:123456789/266023.

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Date of creation: 31 Mar 2010
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Handle: RePEc:ner:leuven:urn:hdl:123456789/266023

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Related research

Keywords: basic research; industrial innovation; pharmaceutical industry;

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