Related and unrelated product diversification and collaboration strategies: Comparison between the pharmaceutical and biopharmaceutical industries

Abstract

In pharmaceutical and biopharmaceutical industries, developing and commercializing products require great investments and intensive clinical trials. With regard to managing the risk and uncertainty of such product development, especially given the low success rates, product diversification and collaboration strategies can be instrumental for firms. Especially, the differences in product development complexity and market condition among industries require more case-specific implications due to the absence of a universally applicable strategy, even in these two similar industries. To date, little is known or discussed regard- | 561Kim et al.

Business diversification choices: do director incentives matter?

“…In the first two situations, firms rely on new business units to enhance or exploit the current resources and capabilities, thus relatedness between businesses is necessary. However, in the third scenario, venturing into an unrelated industry is viewed as a viable and important strategy to stabilize cash flow (Kim et al ., 2022; Ng, 2007). Using 1,480 firm-year observations of public manufacturing firms, Ljubownikow and Ang (2020) found that firms facing a high level of competitive intensity would benefit more from unrelated diversification than related diversification.…”

Efeito do sistema de controle gerencial sob a criatividade e inovação: um estudo no contexto de organizações de pesquisa e desenvolvimen-to

“…A indústria farmacêutica é considerada como uma das industrias mais complexas e dinâmicas da atualidade, caracterizadas pela alta intensidade em pesquisas e desenvolvimento e tecnologia de ponta (Banerjee;Siebert, 2017;Cardinal, 2001;Kim et al, 2022). Atuam em um segmento de pressão constante, os desafios sociais, tecnológicos e regulatórios exigem que as empresas biológicas respondam rapidamente a um ambiente em rápida mudança (Betz et al, 2014).…”

The Optimal Open Innovation Strategy with Science-based Partners for Venture Firm’s Innovation Capabilities: Focusing on Innovation Modes

“…The advent of new technologies caused by the fourth industrial revolution makes the open innovation of companies more active and makes them perform more simultaneous open innovation than before (Phillips, 2021;Yun et al, 2019Yun et al, , 2021. As the open innovation process becomes more complex, actors have acquired various innovation capabilities Kim et al, 2020Kim et al, , 2022Shin et al, 2018). For example, universities have traditionally played a role in R&D and education, but since the 2000s, as a corporate university, they have performed various roles such as business operation support, marketing support and equipment support (Gassmann & Becker, 2006;Krishna, 2019;Schiuma & Carlucci, 2018;Yoshioka-Kobayashi, 2019).…”

“…However, previous studies focus on the R&D aspect in studying collaboration with universities and research institutes (Bogers & Lhuillery, 2011). Furthermore, in real world, firms do not use collaborative partners as fixed roles of partner types, but they perform various collaborative activities with partners according to their strategy (Kim et al, 2015, 2016). In other words, the roles of actors are diversified and firms are using them strategically.…”