Knowledge Complexity and Collaborative Organizational Activities on Clinical Trials by Foreign Biopharmaceutical Firms in China

摘要

High-technology companies, such as the pharmaceutical, are increasingly developing their technological advantages in foreign countries. For instance, China is one of the favored destinations for the global clinical trial activity. This article develops and tests the argument that operational knowledge complexity in clinical trials influences inter-firm collaboration between foreign industrial firms in China. Unlike a perceived link between complexity and internalization, we propose a link between knowledge complexity and joint activities. We also suggest that the joint activity becomes complex when it is not internalized. Therefore, there is a positive association between operational and structural complexity. Tested on four measures of complexity in the clinical trial, we confirm that as complexity increases, there is an increase in the propensity of the foreign firm to collaborate with another foreign firm in China. We discuss theoretical and practical implications for multiple perspectives.