EconPapers    
Economics at your fingertips  
 

A Comparative Analysis of Biotechnology Startups between Japan and the US

Kazuyuki Motohashi ()

Social Science Japan Journal, 2012, vol. 15, issue 2, 219-237

Abstract: In this paper, I compare activities in biotech firms in the two countries based on firm-level data in 2004 (443 Japanese firms, 12 of which are listed publicly, and 1,446 US firms, 431 of which are public). First, I found that Japanese firms are much smaller than US firms, even after controlling for firm age and technology field. Furthermore, Japanese firms grow over time, while the size of US firms does not change. These findings suggest that there are some differences in the biotech business models of the two countries. I also found that US firms spend a large amount of R&D particularly in the areas of medical and health, while Japanese firms do not. Therefore, most Japanese firms do not invest a substantial amount of R&D in risky areas but run businesses in low-risk areas, such as providing R&D services. I argue that such differences in startup activities can be explained by differences in the venture capital markets between Japan and the US.

Date: 2012
References: Add references at CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
http://hdl.handle.net/10.1093/ssjj/jys007 (application/pdf)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:oup:sscijp:v:15:y:2012:i:2:p:219-237.

Access Statistics for this article

More articles in Social Science Japan Journal from Oxford University Press
Bibliographic data for series maintained by Oxford University Press ().

 
Page updated 2020-04-24
Handle: RePEc:oup:sscijp:v:15:y:2012:i:2:p:219-237.