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American companies dominate the top-10 group with seven positions, while there are one each from China, Japan and India. However, some of the Indian firms, such as L&T, HUL and Infosys, have been ranked higher than global giants like Starbucks (21st), Estee Lauder (23rd), Google (24th), Danone (25th), Apple (26th), P&G (27th) and Diageo (33rd). Forbes said that the list has been compiled on the basis of "innovation premium" offered by the companies -- measured by how much investors have bid up the stock price above the value of its existing business based on expectations of future innovative results (new products, services and markets).
Only those companies have been considered for the ranking that have a minimum market capitalisation of $10 billion, have spent at least 2.5 per cent of revenue on research and development and have seven years of public data.
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