Abstract :
This paper offers a detailed case study of the emergence, organization,
and development of research and development at
E. Merck. During the 1890s, revolutionary changes in the scientifi
c knowledge base, especially the rise of bacteriological
research and the entry of dyestuff producers into the pharmaceuticals
market, combined with the fi nancial distress Merck
was undergoing to force the fi rm to reorganize pharmaceutical
research as a corporate strategy. Consequently, between
1895 and 1898, Merck restructured its in-house research,
forming closer ties with universities and other outside inventors.
Merck depended on these sources to generate new products,
while relying on in-house scientists to improve productive
effi ciency. A spate of new products was launched between
the late 1890s and 1905, but, in the following years, resource
constraints restricted Merck’s innovative capacity.