J. Basic. Appl. Sci. Res., 3(1)257-268, 2013 © 2013, TextRoad Publication ISSN 2090-4304 Journal of Basic and Applied Scientific Research www.textroad.com *Corresponding Author: Mousa Rezvani Chamanzamin, Ph.D Student in Business Management, Allameh Tabatabaie University, Tehran, Iran, Email: musa2006az@yahoo.com The Interaction Model of Business Strategy with Research and Development Strategy and Effect of this interaction on Organizational Performance in Iran's Pharmacy Industry Zohreh Dehdashti Shahrokh 1 , Jamshid Salehi Sadaghiani 2 , Vahid Nasehi Far 3 , Mousa Rezvani Chamanzamin* 4 1 Assisstant Professor in Business Management, Allameh Tabatabaie University, Tehran, Iran 2 Professor in Industrial Management, Allameh Tabatabaie University, Tehran, Iran 3 Assisstant Professor in Business Management, Allameh Tabatabaie University, Tehran, Iran 4 Ph.D Student in Business Management, Allameh Tabatabaie University, Tehran, Iran ABSTRACT Today’s one of the major challenges of the industry is to keep pace with global changes. These changes support the promotion of human needs and increase their expectations of life occurs. At the other view, spillovers are one of the most important elements of this change. Among these organizations are forced to use a set of strategies to achieve are their goals. Coordination and interoperability between enterprise strategies could create synergy between them. In this research, we are tryidentify is R&D 1 strategies of most important functional strategies and PLC 2 strategies behind these interactions as an actor is considered with Business Strategies. The point is that the interaction should be improved organizational performance. In this study, Iran’s pharmaceutical industry is selected. We are selected about 27 companies in the industry have been in this market. Performance indexes are these profit companies for the years of 2008, 2009 and 2010 have been studied. This article’s method is a compilation method. Used are the survey research methodand content analysis method. The results show, the Introduction stage, maximum interactions are between Emerging Strategy with low-cost product design strategy and analyst Strategy. Minimum interactions are between Benchmarking strategies with customer needs approach with low-cost defense strategy. The Growth stage, maximum interactions are between Benchmarking strategies with customer needs approach with low-cost defense strategy. Minimum interactions are between Benchmarking strategies with low-cost approach with differentiated defender strategy. The Maturity stage, maximum interactions are between Benchmarking strategies with customer needs approach with differentiated defender strategy with low-cost approach. Minimum interactions are between Benchmarking strategies with low-cost approach with differentiated defender strategy. The Death stage, maximum interactions are between Benchmarking strategies with customer needs approach with differentiated defender strategy with low-cost approach. Minimum interactions are between Benchmarking strategies with low-cost approach with differentiated defender strategy. KEYWORDS: Business Strategies, R&D Strategies, PLC, Interaction Model, Organizational Performance, Iran's Pharmacy Industry 1. INTRODUCTION One of the primary challenges of industries today is to coordinate with the global changes. These variations take place under the fund of human needs promotion and boosting their life expectations. On the other hand, spillovers can be referred as one of the major elements of these changes. Among them the organizations are required to exploit a number of strategies to attain their purposes. Coordination and creating a mutual interaction among organizational strategies themselves can lead to build a synergy among them. The present study has been tried to interact organizational R&Dstrategies which accounted for one of the most essential strategies in firms especially in high technology firms with industrial business strategies to exploit the missing links of this interaction. Of course it is worth mentioning that the strategies of a PLC play as Modulator strategies of this interaction an important role. The essential point is that the above mentioned interaction should lead to improve the organizational performance. To do so the researcher has chosen Pharmacy industry in Iran as the pilot study. In today's developing world, managers encounter with rapid and complex changes of variations in and out of organization. Permanent durability of variants and exploiting necessary strategies to improve organizational performance can be accounted as one of the most essential and basic interests of organizational management (Walker, et al. 2003). If we suppose Pharmacy industry in Iran as one of the developing industries, strategic studies should necessarily be carried out for that. However it seems that active organizations in such important and mammoth industries which are involved with more advanced technologies, run into serious challenges in harmonizing. Studies in many cases have shown that competitive disadvantages and reduction of beneficial activities in organizations do not operate inefficient in compiling strategy, because compiling strategy contains specific model and is a tangible process. It is strategies' administrative weaknesses' which create inconsistency 1 Research and Development 2 Product Life Cycle 257