Taking the network approach developed in the Nordic countries as a point of departure (cf. Håkansson, H. and Snehota, I. (1989); Turnbull, P., Ford, D., and Cunningham, M. (1996)) this paper seeks to explore how firms and networks are affected by high involvement by governmental authorities. A special focus is given to the regulating instrument of licenses. In two case studies of protected industries, the pharmacy and insurance industry, we find that licenses are restrictions but also facilitators for relationships and networks. Licenses render firms a certain degree of acceptance, define roles and positions in the network, and affects efficiency. Thus, although licenses can be seen as a restriction for firms it also becomes evident that they facilitate firms' activities related to operating and/or entering new markets.