The case reviews the facts as known a week after the incident occurred, and raises a wide range of questions regarding consumer behavior, corporate responsibility, and competitive reaction. Brushing up HBR fundamentals will provide a strong base for investigative reading. Often readers scan through the business case study without having a clear map in mind. This leads to unstructured learning process resulting in missed details and at worse wrong conclusions. Reading up the HBR fundamentals helps in sketching out business case study analysis and solution roadmap even before you start reading the case study.
Case Analysis: Johnson & Johnson And The Tylenol Poisonings
Case Analysis: Johnson & Johnson And The Tylenol Poisonings | Cram
Whenever someone is suffering from the common cold or a minor headache, that person turns to his or her trusted friend, Tylenol. On September 29, , two deaths occurred in the Chicago area. As two more days past, five more deaths occurred. All these deaths were somehow linked to the consumption of Extra-Strength Tylenol. A person, who is still unknown today, took the capsules off the shelf and tampered with them, adding cyanide to them. A company that had held thirty seven percent of the market for painkilling drugs fell to a disappointing seven percent in just a few days.
Tylenol and the Legacy of J&J’s James Burke
Crisis need not strike a company purely as a result of its own negligence or misadventure. Often, a situation is created which cannot be blamed on the company - but the company finds out pretty quickly that it takes a huge amount of blame if it fumbles the ball in its response. Unfortunately, at that point one individual succeeded in lacing the drug with cyanide.
Headquartered in New Jersey, the company has about subsidiary companies and operates in over 57 countries while its products are sold in countries. The company had been performing very well since its foundation. But suddenly, in the fall of , somehow most likely because of tampering , cyanide- laced Tylenol capsules were put on the shelves of pharmacies in the Chicago area. Seven unsuspecting consumers died after consuming the cyanide- laced capsules. The following points explain the importance of the product for the company.