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Innovation through technical alliances: an assessment of a high technology industry using instrumental variable method

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  • Rupali A. Khanna
  • Samraj Sahay

Abstract

This paper examines the impact of technical alliances on firms' ability to innovate, measured by number of product and process patents filed, and investigate the motivating factors for filing patents in different regions using panel data and instrument variable method. Data for the period 2000-2013 for the Indian pharmaceutical firms representing high technology industry has been used. We find strong evidence of the impact of technical alliances in enhancing knowledge creation leading to innovation by pharmaceutical firms in India. Findings reveal that firm's strategies and motives have significant influence on destination of filing patent. The study highlights the importance of strategic alliances on innovation at the firm level, and the significance of related national policies.

Suggested Citation

  • Rupali A. Khanna & Samraj Sahay, 2020. "Innovation through technical alliances: an assessment of a high technology industry using instrumental variable method," International Journal of Business Innovation and Research, Inderscience Enterprises Ltd, vol. 23(4), pages 480-500.
    • Handle: RePEc:ids:ijbire:v:23:y:2020:i:4:p:480-500
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