American Journal of Economics and Business Administration

Bio-Technology International Strategic Alliances: The Managerial Perspectives of Malaysian Firms

Ahmad Bashawir Abdul Ghani and Muhammad Subhan

DOI : 10.3844/ajebasp.2011.1.11

American Journal of Economics and Business Administration

Volume 3, Issue 1

Pages 1-11


Problem statement: Biotechnology is becoming one of the major concerns among large emerging economies including Malaysia. International strategic alliances may be one way to integrate emerging economies in their development with developed economies. The use of various forms of cooperation between firms of emerging economies and firms of developed countries can accelerate the process of transfer and adaptation of advances already reached in developed countries, as well as the development of new products and processes. However, there are few empirical studies on international strategic alliances of biotechnology firms have been conducted in emerging countries’ environment. In this study, the authors examine the views of Malaysian managing directors of prospective bio-tech international strategic alliances with European or US firms. Approach: Data examined in this study were collected using questionnaires filled in during executive face to face semi-structured interviews. Twenty-three firms associated with biotechnology were included. It represents approximately 20% of the estimated 120 firms operating in the biotechnology area in Malaysia. The authors also use a panel of specialists in order to classify independently two groups of firms: The most suitable and the least suitable to international strategic alliances. Results: Several differences concerning the perceived importance of prospective contributions were identified between the two groups of local firms. Conclusion: This study provides insights on the importance of contributions from a typical local (Malaysian) partner firm, as well as from a typical foreign (European or US) partner firm.


© 2011 Ahmad Bashawir Abdul Ghani and Muhammad Subhan. This is an open access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.