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Factors Affecting Outbound Open Innovation Performance in Bio-Pharmaceutical Industry-Focus on Out-Licensing Deals

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  • Eungdo Kim

    (Graduate School of Biomedical Convergence, College of Medicine, Chungbuk National University, 1 Chungdae-ro, Seowon-gu, Cheongju 28644, Chung-cheongbuk-do, Korea)

  • InGyu Lee

    (Graduate School of Biomedical Convergence, College of Medicine, Chungbuk National University, 1 Chungdae-ro, Seowon-gu, Cheongju 28644, Chung-cheongbuk-do, Korea)

  • Hongbum Kim

    (Korea National Industrial Convergence Center, Korea Institute of Industrial Technology, 143 Hanggaul-ro, Sangnok-gu, Ansan-si 15588, Gyeonggi-do, Korea)

  • Kwangsoo Shin

    (Graduate School of Biomedical Convergence, College of Medicine, Chungbuk National University, 1 Chungdae-ro, Seowon-gu, Cheongju 28644, Chung-cheongbuk-do, Korea)

Abstract

Due to the high risk in development process, the bio-pharmaceutical industry has transformed itself into an open innovation framework in order to overcome economic risk. This study examines the relationship between outbound open innovation and financial performance in bio-pharmaceutical industry. Specifically, this study extends knowledge-based view to link the open innovation performance and licensor’s sustainability. In order to provide empirical evidence, this study uses econometric methodology with several databases including bio-pharmaceutical firms. The analysis shows firm’s desorptive capabilities have a significant effect on financial performance, confirming the application of knowledge capacity framework. The result of the study can suggest the way how the licensors can maintain the sustainability of competitiveness in bio-pharmaceutical industry.

Suggested Citation

  • Eungdo Kim & InGyu Lee & Hongbum Kim & Kwangsoo Shin, 2021. "Factors Affecting Outbound Open Innovation Performance in Bio-Pharmaceutical Industry-Focus on Out-Licensing Deals," Sustainability, MDPI, vol. 13(8), pages 1-17, April.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:8:p:4122-:d:531754
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