Europe is striving to become the world's most competitive knowledgebased economy by 2010. The higher education sector will play a key role by providing the ideas and skilled manpower to effect this transition, but will require organizational and cultural change to be truly effective. The Institute of Biotechnology at the University of Cambridge is used as an example of how these issues can be addressed in a single organization that is able to provide a seamless mechanism to exploit its pure science base to create knowledge-based business spin-offs.

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