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The Reconfiguration of a Latecomer Innovation System

Governing Pharmaceutical Biotechnology Innovation in South Korea

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Dirk Johann

The book examines the evolving governance of pharmaceutical biotechnology in South Korea in order to derive conclusions about the dynamics of a latecomer system transition. Based on an analysis of innovation activities in the biomedical sector, which is complemented by expert interviews, the research contends that the Korean post-developmental state should be geared towards coordinating the interplay of technologies, modes of organization and institutions. An integrative framework is developed to describe system change as a co-evolutionary process in which the national and sectoral dimensions intersect. The case shows that the shaping of an environment in which innovation systems can develop sectoral transformative capacity is a central aspect of latecomer innovation governance.

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3 Governance dimensions of technological learning and innovation in biotechnology

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This chapter discusses the co-evolving institutional and organisational dynamics of biotechnology as a complex challenge for governance. The different governance dimensions concerning knowledge production and commercialisation o f emerging biotechnology are discussed in the context o f the continuously reshaping triadic relationships between government, science and industry. The chapter presents a generic perspective on the potential systemic failures and coordination gaps in the governance o f biotechnology between science and society. The chapter is divided in two parts: The first part discusses the political economy o f biotechnology with a focus on the technological and institutional- organisational co-evolution of the biotechnology regime and state policies that evolve in response to the regulatory needs for biotechnology. A central focus of the first part is the political economy o f biotechnology in Asia. The second part o f the chapter focuses on the configuration o f national innovation systems for the biotechnology regime. This part deals with the evolution o f science networks across industry boundaries and presents the interaction between scientific and organisational change in biotechnology and pharmaceuticals as a challenge for the configuration o f innovation systems. The second part also presents a generic concept for a biotechnology innovation system and discusses the implications for a latecomer innovation system. 128 The political economy o f biotechnology 3.1 The political economy of biotechnology 3.1.1 Technological and institutional-organisational co-evolution of the biotechnology regime The co-evolution of institutional frameworks and biotechnology firms The co-evolution of technology, industrial structure and institutions is an inherent...

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