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Globalization and Innovation in the Indian Pharmaceutical Industry

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  • Loitongbam, Bishwanjit Singh

Abstract

The changing global environment brings about new opportunities and new markets for domestic firms in developing countries. We examine the impacts of globalization and IPR protection on the innovation in the Indian pharmaceutical industry, using the firm-level panel data. This paper finds that there is a positive and highly significant level of foreign ownership effect on R&D activities. This indicates that there is technology spillover in the Indian pharmaceutical industry. TRIPS implementation has insignificant effects on R&D innovation. It is also found that exporting firms and firms with a higher productivity level are significantly more likely to carry out R&D activities.

Suggested Citation

  • Loitongbam, Bishwanjit Singh, 2016. "Globalization and Innovation in the Indian Pharmaceutical Industry," MPRA Paper 75925, University Library of Munich, Germany, revised 27 May 2016.
    • Handle: RePEc:pra:mprapa:75925
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    References listed on IDEAS

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    More about this item

    Keywords

    Globalization; Foreign Ownership; Innovation; R&D;
    All these keywords.

    JEL classification:

    • F1 - International Economics - - Trade
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F6 - International Economics - - Economic Impacts of Globalization

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