Publication Code: S7


The Development of Thailand's Technological Capability in Industry: Capability Development for Biotechnology-based Industries


by Kopr Kritayakirana, Yongyuth Yuthavong et al.

Contents

The capability of biotechnology-based industries for technology acquisition, operation, adaptation and innovation was assessed from a survey of 36 companies in 8 industry groups, Most companies had good operative and adaptive capability, but poor innovative capability, while the acquisitive capability depended on the type of company. Companies with research and development (R&D) activities had significantly greater acquisitive, operative and adaptive capabilities than those without R&D, but all companies had very low innovative capability. Joint venture and foreign companies had significantly higher operative capability than local companies. Technologically-aggressive Thai companies tended to have active technology acquisition strategies, while joint venture and foreign companies relied on parent companies for technology acquisition. Large companies tended to have higher overall capability than small companies. Industries using upstream technologies had higher acquisitive and innovative capabilities than those using downstream technologies. The overall capabilities of the various industry groups in descending order were: aquaculture, animal feeds, seed, dairy, ornamental plants, organic acids, alcohol and health and related industries. Market niches for small industries were found in aquaculture, animal feed, seed, ornamental plan and some health (e.g., diagnostics) industries. Many new technologies could be rapidly absorbed by these industries. Strategies for upgrading their technological capabilities include improvement of financing (availability and accessibility), improvement of incentives for technological development, promotion of R & D in industrially relevant topics in public institutions (which have most of the R & D resources), promotion of linkage between public institutions and industries, facilitation of access to new technologies, creation of technology and creation of a capable manpower supply.

 

October 1988