Sector Creation and Evolution: The Role of the State in Shaping the Rise of the Indian Pharmaceutical Sectoral Business System

Abstract

The emergence of emerging market multinational companies (EMNCs) as a driving force of change in the political, social, and economic landscape of the world economy has grabbed the attention of policymakers, academics, and the media alike in recent years. While the appearance of multinationals from developing and emerging markets is not a new phenomenon, their bold international expansion into the global economy and the rapid growth of Outward Foreign Direct Investment (OFDI) from their home economies into advanced economies has garnered the attention of many. Consequently, the fact that EMNCs have been making their marks in international commerce by competing successfully in global markets and acquiring assets in both advanced and emerging economies challenges the trend, and in many cases the assumption, that only advanced economies produce such companies. EMNCs are becoming a significant means for the transfer of capital, technology, management, and other assets within and between developing, emerging, and advanced economies, and they are creating new engines of growth in respective emerging markets and being publicly challenged.