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Title: Impact of intellectual capital on innovation in pharmaceutical manufacturing SMEs in Pakistan

Authors: Ieeqan A. Qurashi; Muhammad Khalique; T. Ramayah; Nick Bontis; Mohd Rafi Yaacob

Addresses: Faculty of Economics and Business, Universiti Malaysia Sarawak, 94300 Kota Samarahan, Sarawak, Malaysia ' School of Management, Universiti Sains Malaysia, 11800 Minden, Penang, Malaysia; MUST Business School, Mirpur University of Science and Technology (MUST), 10250, AJ&K, Pakistan ' School of Management, Universiti Sains Malaysia, Minden, 11800 Penang, Malaysia; Faculty of Cognitive Science and Human Development, Universiti Malaysia Sarawak, 94300 Kota Samarahan, Sarawak, Malaysia ' DeGroote School of Business, McMaster University, Hamilton, ON, Canada ' Faculty of Entrepreneurship and Business, Universiti Malaysia Kelantan, Kelantan, Malaysia

Abstract: The main purpose of this study is to determine the impact of intellectual capital on innovation in pharmaceutical manufacturing SMEs operating in Karachi. This empirical research is based on a survey of 97 pharmaceutical manufacturing SMEs. Purposive sampling technique was used to select the targeted respondents. Multiple regression analysis was applied to test the proposed research hypotheses. The findings demonstrate that intellectual capital has a positive impact on the innovation of SMEs operating in pharmaceutical industry in Karachi. This study will help to comprehend the importance of intellectual capital on innovation in SMEs and provide guidance to capitalise it prudently. This research contributes to the existing literature by investigating effect of intellectual capital on innovation of pharmaceutical manufacturing SMEs in Karachi. This is a first study in Pakistan and it contributes in the existing theory of intellectual capital. It will provide a theoretical base for the future research endeavours.

Keywords: intellectual capital; pharmaceutical SMEs; innovation; knowledge-based economy; Pakistan.

DOI: 10.1504/IJLIC.2020.105324

International Journal of Learning and Intellectual Capital, 2020 Vol.17 No.1, pp.61 - 76

Received: 16 Nov 2018
Accepted: 01 Apr 2019

Published online: 17 Feb 2020 *

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