Assistant General Sales Manager (AGM-Sales),
This study aims was to analyze trend of research and development (R&D) expenditure of an Indian pharmaceutical company for the period of 1999 to 2019. The study also focused on the predictive R&D expenditure curve till 2025 as a measure to combat Covid-19. Univariate time series secondary dataset of a National Stock Exchange listed company had been collected from Capitalline Market Publishers India Pvt. Ltd. Tool & Technique: ARIMA (Auto Regressive Integrated Moving Average) had been applied to analyze the trend line of research and development expenditures incurred by the sample pharmaceutical company. For data driven analysis and interpretation; econometrics software GRETL had been incorporated in the study. 1999-2019 i.e. 21 years was the study period. Multistage sampling technique had been incorporated in the study. Appropriate visual representation had been used in the study with the help of graphs produced during data analysis & interpretation. From the econometrics analysis through ARIMA models the author came to know that all the t-statistics values were <1 and statistically significant at 1%, 5% and 10% level of significance followed by 1st (lag1) and 2nd lag difference (lag2) which meant the models were good fit, stationary and stable without any unit root problem both in ARIMA Model 1 & 2.From the Actual Vs Fitted and Forecast Plots in both the ARIMA Models, the author came to the conclusion that there was a linear upward trend in the study period with regard to research and development (R&D) expenditure.
Econometrics, R&D, Drug
