Strategic Leadership and Competitive Advantage: A Case of an Indian Pharma Firm in the New Patent Regime

Abstract

This paper attempts to elucidate upon the current changes in the Indian Pharmaceutical Industry (IPI) brought about by the product patent regime 2005. The study relates the concept of strategic leadership as a source of competitive advantage for the firm in an industry where science and innovation drives the pace of change. It includes a literature review aiming to clarify the concept of strategic leadership; Determination of strategic options for the IPI based on expert interviews and secondary research and case study of Lincoln Pharmaceuticals Ltd. The objective was to develop testable propositions to be replicated in further study. The preliminary findings suggests that important decisions and actions leading to generation of strategic options, strategic intent and mission, identification, reconfiguration and conversion of resources into capabilities can be traced to strategic leaders at firm level. The organization culture and the subsequent entrepreneurial orientation which promotes innovation and creation of core competencies for competitive advantage is also a result of strategic leadership at firm level.

Keywords: Indian pharmaceutical industry, strategic leadership, product patent regime 2005, strategic options, emerging strategies, tangible & intangible resources, capabilities, core competencies, competitive advantage

JEL Classification: L10, L21, M13, M14, O3, O53