ABSTRACT
At the root of the process of globalisation, early 1990s onwards, lies a fundamental technological paradigm shift that reflects changes in the global technology system, and results in increasing demand for intellectual property protection, especially from the developed nations. The ‘introduction of new generic technologies is closely intertwined with a new wave of internationalisation of the economy’ and it tends ‘to blur social boundaries’ (van Wijk and Junne 1993: 4), especially so in case of the so-called knowledge industries. Although developing nations are affected differently, depending upon the degree of their assimilation into the global market, globalisation does exercise significant pressure upon players long protected with strong positions in domestic markets. It is no longer possible to survive and grow essentially on price competition, while compromising quality. Participation in the global market entails adhering to quality through substantial investment in research and development (R&D), either in-house or through collaborative arrangements. This change can lead to varying responses from individual firms depending upon their capabilities and preparedness to adjust.
