The Dynamics of Knowledge Sharing in the Biotechnology Industry: An Indian Perspective

Abstract

The role of biotechnology in providing an alternate, more productive approach to new drug development is well accepted globally. Multinational pharmaceutical companies have begun outsourcing product development and its clinical validation to biotechnology firms in India. The sector in India has also witnessed the entry of startups in various phases of the drug development value chain. Technological innovation is a key growth driver in the “bio pharma” vertical in recognition of which numerous alliances are seen in the sector in India. These alliances have put in place a structure for technological learning to happen, which is necessary for innovation. However, the nature of knowledge in biotechnology, in large measure, is both tacit and complex. Such knowledge is difficult to transfer. At the same time, transfer ability of knowledge is critical to developing technological capability, which in turn can facilitate the technological innovations that are crucial for the growth of the sector in India. The current research is motivated by the question of how the firms in this sector deal with this paradox. An exploratory approach is adopted to understand the practices of knowledge sharing as well as its perceived impediments at the firm level in the Indian context.