Competition Regulation and Recombinant Drugs in India

The recombinant drug industry is growing at almost 20% rate in India. The long term growth of this sector depends upon the innovation as well as competition and market. The structure, conduct and performance of firms in market plays a very important role in predicting the future of innovation and competition in market. The present paper analyses the structure-conduct-performance paradigm in the context of recombinant drug sector in India. The analysis reveals that R&D, distribution chains and advertisement has significant effect on the profits of firms in the recombinant drug sector.

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