Positioning strategies and prospects for success of emerging high-technology firms: the case of US biotechnology
by Joaquim Vila
International Journal of Biotechnology (IJBT), Vol. 3, No. 1/2, 2001

Abstract: This study estimates the relative contribution of strategy and a number of contextual factors to the prospects for success of newly created firms in the emerging stage of biotechnology. The focus is on an empirical analysis of the relative weight of patterns of positioning strategy (i.e. how a firm chooses to build over time its competitive position) as a factor contributing to the strength of a firm's position for future success, during the commercialisation stage of industry evolution. Our theoretical viewpoint draws on an asset-based view of the firm. The research is based on a sample of 80 new US biotechnology firms created between 1971 and 1984. This particular field setting was characterised by two distinctive features; most of the firms were operating at a loss, and most of the products with significant commercial impact were some years away from market introduction. The contributions are primarily two. First, positioning strategy in emerging high-technology firms does make a difference in firms' prospects for success. Second, timing is a critical factor in identifying superior patterns of strategic choice (focus on technology driven vs. downstream activities, and the extent and nature of external collaboration) in the study of the strategy-performance relationships in rapidly changing environments.

Online publication date: Sun, 13-Jul-2003

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Biotechnology (IJBT):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com