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Firm Heterogeneity in Biotech: Absorptive Capacity, Strategies and Local-Regional Connections

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  • Sharmistha Bagchi-Sen
  • Helen Lawton Smith

Abstract

This paper focuses on the characteristics of biotech firms with various levels of research and development (R&D) activity. It is done by exploring the relationship between R&D intensity, alliances and the extent of regionalization of firms' activities using evidence from a survey of US-based biotechnology firms. We profile two firm prototypes: research-oriented firms and product-oriented firms, focusing on their characteristics, strategies and operations. These include activities devoted to exploration and exploitation through alliances with universities (more exploration) and with pharmaceutical companies (exploration and exploitation), and locational needs which facilitate both exploration and exploitation.

Suggested Citation

  • Sharmistha Bagchi-Sen & Helen Lawton Smith, 2014. "Firm Heterogeneity in Biotech: Absorptive Capacity, Strategies and Local-Regional Connections," European Planning Studies, Taylor & Francis Journals, vol. 22(9), pages 1783-1801, September.
    • Handle: RePEc:taf:eurpls:v:22:y:2014:i:9:p:1783-1801
    DOI: 10.1080/09654313.2013.801572
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