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Johnson & Johnson
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==== How much do companies spend on R&D? ==== Above all other industries, the pharmaceutical sector places significant reliance on research and development, with firms allocating roughly 20 percent or more of their sales earnings towards R&D endeavours. This proportion can soar even higher for companies that center their operations on research and generate relatively modest sales figures. Uncovering novel drugs holds paramount importance for the sustained expansion of pharmaceutical enterprises, and the sales of new branded medications can yield substantial contributions to overall revenues. Conversely, the expiration of patent protections can lead to severe repercussions, as the presence of generic drugs introduces a formidable challenge for these companies.
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