Research On The Innovation Efficiency And Influence Factors In Jiangsu Pharmaceutical Industry

The pharmaceutical industry is one of the objects which foster the development ofstrategic emerging industries, and has broad prospects for development. Jiangsu Province isnot only an economically strong province in China, but also the largest province of thepharmaceutical industry, and it has formed the five pharmaceutical industry gathering areassuch as Lianyungang, Suzhou. In those areas, it has gathered a large number of dominantenterprises. They have a great influence on others in the country. On the whole, thoughJiangsu pharmaceutical industry has been more obvious improvement in its size and outputcapacity, the innovation capacity has not been increased.The production of many productsare imitation, few companies can product new innovative drugs or medical devices withindependent intellectual property rights, and so far no one has the ability to advance aninnovative drug which can has a great influence in the international community. It shows thatthere is a big gap between the level of Jiangsu pharmaceutical industry innovation and that ofthe foreign countries, which mainly reflected in the lack of innovation investment, as well aslow efficiency of innovative resource allocation, while the latter is the main reason forrestricting the pharmaceutical industry innovation and development in Jiangsu.Firstly, this paper begins with innovation efficiency theory at home and abroad to reviewinnovation efficiency connotation and its determination, followed by the summaries andcomments of previous scholars’ studies on the estimates of innovation efficiency and itsinfluencing factors. Based on the lack of previous study, this paper calculates the innovationefficiency of Jiangsu pharmaceutical manufacturing as well as other high-tech industries by the use of stochastic frontier analysis method, and further analyze the factors influencing theefficiency of innovation in depth. Previous influencing factors mainly focus on the externalmacro factors including firm size, market competition and opening-up.However, the configuration of knowledge, technology and other innovative resources have animportant impact in terms of the innovation of pharmaceutical manufacturing. Thus,combining with pharmaceutical manufacturing characteristics and the Jiangsu development,this paper selects two perspectives of cooperation innovation and industry clustering tostudy the innovation efficiency of Jiangsu pharmaceutical industry. The paper proposeshypothesis based on the theoretical analysis, using multiple regression analysis toquantitatively study based on the collected statistical data to verify the hypothesis, andsummarizes the material obtained during the previous research to further analyze theinfluence of cooperative innovation and industry clustering on innovation efficiency from aqualitative point of view so as to enrich the quantitative findings. Through theoreticaland empirical, qualitative and quantitative analysis, the paper gives the following conclusionsand recommendations:In the short term, due to the communication and trust problems between the cooperativeparties which hinders the smooth implementation of cooperative innovation, thereforecooperative innovation among enterprises, universities and scientific research has a negativeimpact on innovation efficiency of pharmaceutical industry.In the long run, cooperative innovation has a positive influence on innovation efficiencyof pharmaceutical industry. Over time, innovation parties can proceed from the overallinterests, rationally allocate the innovation resources to play their biggest advantage,therefore more innovation output can also be gotten in the limited innovation input.Industry clustering is conducive to the unconscious proliferation of knowledge,technology and other information, the higher the degree of industry clustering, the moreconducive to the improvement of innovation efficiency.