Introduction: Knowledge and innovation are regarded as the most fundamental drivers of progress in industrial and economic domains. Knowledge-based companies have been established to realize this objective by operationalizing theoretical and academic learning within industry. Over recent decades, the emergence of knowledge-based companies as a core pillar of the knowledge-based economy has gained prominence in enhancing production, creating added value, and improving social welfare. Nevertheless, these companies face numerous challenges along their development trajectory, challenges that are particularly pronounced in Khuzestan Province. Accordingly, this study aims to examine strategies for overcoming the development challenges of knowledge-based companies in Khuzestan Province.
Method: This study adopted a qualitative approach using the grounded theory. The participants consisted of 44 provincial elites, including university faculty members involved in knowledge-based activities and managers of knowledge-based companies and technology units. The theoretical sampling was employed, and data were collected through in-depth, semi-structured interviews.
Findings: Data analysis resulted in strategies at two distinct levels. At the level of knowledge-based companies, “developing specialized plans aligned with the country’s economic conditions”, “defining diverse revenue plans”, “utilizing non-loan-based financing mechanisms”, “producing demand-driven products”, “diversifying the product portfolio and developing by-products”, “producing products with a people-oriented sales focus”, “establishing workshop-based working environments”, and “forming knowledge cooperatives”. At the institutional level pertaining to organizations responsible for knowledge-based companies and technology units, “establishing a classification system for knowledge-based companies”, “utilizing underutilized government facilities at the county level”, “implementing economic ranking systems for companies”, and “creating opportunities to facilitate investor entry into companies”.
Conclusion: The findings indicate that strategy implementation should be executed by the companies on one hand, and by organizations supporting knowledge-based companies, such as science and technology parks and university incubators on the other hand. These measures not only reduce the risk of failure for KBC and technology units but also enhance their flexibility and resilience. Overall, this study emphasizes that the development of knowledge-based companies is not achievable solely through reliance on technological ideas; rather, it requires the design of comprehensive managerial, financial, and institutional strategies, along with constructive interaction between companies and supporting institutions.