@article{dyczkowska2020narratives,
  title = {R&D Narratives in Annual Reports  of European Biopharmaceutical Companies},
  author = {Joanna Dyczkowska},
  year = 2020,
  url = {https://ibimapublishing.com/articles/JIBBP/2020/784622/},
  journal = {Journal of Innovation and Business Best Practice},
  volume = 2020,
  pages = 30,
  doi = 10.5171/2020.784622,
  abstract = {This study has two objectives. Firstly, it explores how do R&D narratives differ in various clusters of biopharmaceutical companies in terms of discussion context and text readability. Secondly, it examines whether the way how biopharmaceutical companies depict their business within R&D context is dependent on R&D expenses or R&D intensity levels. The paper contributes to the literature in applying qualitative and quantitative methods. They are used to examine relations between particular words, establish the contextual meaning of the paragraphs and evaluate readability of the texts extracted from annual reports. An in-depth text analysis covers both creation of co-occurrence network exemplifying the relations between words and assessment of selected readability measures. In order to understand differences in-between the analysed entities in terms of R&D discussion a cluster analysis is applied. The conducted analysis allowed to recognize three different R&D disclosure approaches. The companies from first cluster focused on disclosing R&D accounting policy. The companies from the second and third clusters debated intensively on strategic issues whereas R&D discussion in the fourth and fifth clusters oscillated around operational aspects. The evaluation of readability measures evidenced that R&D narratives were difficult or very difficult to understand. The results of the study proved also that the companies which disclosed more strategically about their R&D activities had higher R&D expenses levels and growths than the companies which reported on R&D operational aspects. Moreover, the companies which debated intensively on R&D accounting policy differed with statistical relevance from the group reporting on R&D operational aspects in terms of R&D expenses growth.},
  keywords = {R&D expenses, R&D intensity, R&D narrative, text readability},
  note = Article ID: 784622
}