MNEmerge Newsletter April 2016

MNEs and innovation in Ghana and Tanzania

The Science and Technology Policy Research Institute (CSIR-STEPRI), in collaboration with the University of Oxford, conducted a survey on innovation activities and the role of the multinational enterprises’ subsidiaries in knowledge transfer in Ghana, during a three-year period of 2012–2014. The aim of the survey was to understand the sources and diffusion of innovation in the private sector in Ghana. The survey was the joint application and output of two research projects: A Framework Model on MNE’s Impact on Global Development Challenges in Emerging Markets (MNEmerge) and The Diffusion of Innovation in Low-income Countries (DILIC).

In line with the MNEs and innovation in Ghana survey, a four-day training workshop was organised to train enumerators for the survey. The training workshop held at CSIR-STEPRI from the 30th of November to the 3rd of December, 2015 was also organised in collaboration with the University of Oxford.

Following the survey in Ghana, the study was extended to cover the case of Tanzania, where CSIR-STEPRI and the University of Oxford collaborated with the Science, Technology and Innovation Policy Research Organisation (STIPRO) for the purposes of comparing the two African cases. The CSIR-STEPRI team led a three-day (1–4 February, 2016) training of enumerators for the survey with technical support from the University of Oxford team. The MNEs and innovation in Tanzania survey is expected to be completed in the spring 2016.

Concentration and competition in the Indian pharmaceutical market

The MNEmerge research team at the Public Health Foundation of India (PHFI) has analysed the concentration and competition in the pharmaceutical market in India. The study has been published in the multidisciplinary Open Access journal PLOS ONE.

Aashna Mehta, Habib Hasan Farooqui and Sakthivel Selvaraj from PHFI examine in their article the methodological issues with respect to defining the relevant market involved in studying concentration in the pharmaceutical market in India. Furthermore, they have analysed whether the Indian pharmaceutical market is competitive. The researchers argue that the broader market definition correlates with the lower market concentration, and, respectively, as the definition of the market is narrowed down, market concentration increases. Hence, according to the researchers, in order to understand the concentration and competition in the pharmaceutical market, the relevant market should be carefully defined.

Read the complete version of the article: Mehta A, Hasan Farooqui H, Selvaraj S (2016) A Critical Analysis of Concentration and Competition in the Indian Pharmaceutical Market. PLoS ONE 11(2): e0148951. doi:10.1371/journal.pone.0148951.

MNEmerge workshop at the University of Delhi

MNEmerge dissemination workshop was held at the Department of Commerce, the University of Delhi, India on the 22nd of February, 2016. The event was attended by 30 participants who were a mix of students and faculty members of the department.

Discussion during the event triggered many important issues, such as the effects of WTO and organisational interests apart from issues faced by customers from the base of the pyramid (BOP) segment and responsibilities of multinational firms towards serving a segment that has a potential to buy its products. The students that took part in the workshop felt that multinationals have an obligation towards the BOP segment and MNEs should modify their products, packaging and pricing as per the needs of the BOP segment. Simultaneously, students emphasised the need for governments to play an active role in monitoring activities of MNEs and local firms.

 Workshop on the role of MNEs in emerging countries held in Brazil

The MNEmerge workshop The Role of Multinational Enterprises in Emerging Countries took place on November 27th, 2015 at the Trindade Campus of Universidade Federal de Santa Catarina, Brazil. The topics of the workshop included, among others, the role of energy in improving human life and living standards, and the impact of business environment in attracting multinational enterprises to enter the electricity market. The workshop gathered together representatives from the MNEmerge project, as well as several experts from the business world, academia and various institutions.

Regional workshop Brazil 2015

The workshop started with a welcome address by Leonardo Bremermann, representative of the host organisation INESC P&D Brasil, and an introduction to the MNEmerge project by Bruno Woeran, MNEmerge project manager (Lappeenranta University of Technology, Finland), and Juha Väätänen, MNEmerge project director (Lappeenranta University of Technology, Finland). The opening speeches were followed by presentations on Agriculture Sector in Brazil by Airton Spies (Santa Catarina State Secretary for Agriculture and Fisheries, Brazil), The Impact of Multinational Enterprises in Brazil and South America by Nildon Ouriques (Santa Catarina Federal University, Brazil) and The Future of Renewable Energy by Antti Kosonen (Lappeenranta University of Technology, Finland). After the presentations, the discussions continued at a round table on Sustainable Development and Public Policies in the Energy Sector.