Focusing on Alliance Management Strategies of Biotech Companies: Linking Performance with Best Practices and Innovation within Biotechnology Industry in the USA

Abstract

Alliance management is essential within the biotechnology sector as they are among the main drivers of innovation within the medical, pharmaceutical, and agricultural breeding fields. External and internal alliances are essential as they improve the transit of knowledge among the resources, which is essential for open innovation within the industry. Thus, the biotechnology sector has to indulge in best practices geared toward enhancing organizational performance. Against this rationale, the present study investigated the association among the alliance management strategies adopted by biotechnology firms and studied their effect on the performance of biotech firms within the USA. The effects of innovation and organizational best practices were also assessed in the capacity of a mediator. The study was designed based on the quantitative design, and a structured questionnaire was used to collect data from employees belonging to biotech firms in the USA. The study's findings confirmed the positive effects of alliance management and mediation effects of innovation and best practices on firm performance. The study's findings hold important theoretical and practical implications, which were discussed along with the study’s limitations and future research direction.