ABSTRACT
The commercial function was combined with development, leaving research as a separate part of the organization. A majority of companies were in favour of the licensing function belonging to the commercial area. However, a sizeable minority opted to place it within R&D. When Johnson & Johnson acquired the Belgian company Janssen in 1961, it allowed its prolific founder, Paul Janssen, to continue to head the company and the Janssen name was retained. It continued for over two decades to produce many new products that proved crucial to the performance of Johnson & Johnson. The decentralized policy was also in evidence after the acquisition of Tibotec. Eli Lilly has long had the reputation of being a centralized pharmaceutical company. Naturally, regionalization in a large country such as the United States means something rather different from regionalization within a European country, because of the sheer difference in scale. The pharmaceutical industry is one of the best provided with audit and other data.
