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Case Details

Case Code: MKTG357
Case Length: 14 Pages 
Period: 2009-2017   
Pub Date: 2017
Teaching Note: Not Available
Price:Rs.500
Organization : Johnson & Johnson
Industry : Consumer Healthcare
Countries : US; Europe; Global 
Themes: Crisis Management  
/Brand Management 
/Marketing Ethics
Case Studies  
Business Strategy
Marketing
Finance
Human Resource Management
IT and Systems
Operations
Economics
Leadership & Entrepreneurship

Johnson & Johnson and its Baby Powder Problem

 

ABSTRACT

 
In 2016, Johnson & Johnson (J&J), a leading multinational medical devices, pharmaceutical, and consumer packaged goods manufacturer, was faced with about 1,200 lawsuits related to its talcum powder products – Johnson’s Baby Powder and Shower-to-Shower body powder. Johnson’s Baby powder was an iconic brand, which J&J had been promoting to adults, particularly women. For a long time, talcum powder when used for feminine hygiene, had been linked to ovarian cancer. The lawsuits alleged that J&J had known about this association but had failed to inform its customers about it. Alex Gorsky (Gorsky), Chairman & CEO of J&J, had also been toeing the management’s line that the criticism of its talcum powder was inconsistent with a hundred years of experience with the product. Analysts were concerned whether J&J, which had faced a number of product-related crises, would be able to maintain its reputation as a trusted family company in a climate of mounting lawsuits. Can J&J afford to jeopardize the whole J&J brand while trying to protect its talcum powder? .
 
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Issues

The case is structured to achieve the following teaching objectives:
  • Understand safety-related issues and challenges in product labeling.
  • Understand the issues and challenges in crisis management.
  • Analyze the issues and challenges arising out of J&J’s marketing of its baby powder brand in light of the product’s association with ovarian cancer.
  • Determine a company’s responsibility toward its customers.
  • Explore ways in which J&J could maintain its brand image and reputation as a trusted family company.
Contents
INTRODUCTION
BACKGROUND NOTE
CONTROVERSY’S CHILD
MARKETING BABY POWDER
TALCUM POWDER: A HUMAN CARCINOGEN?
TALCUM POWDER LAWSUITS
THE CONSEQUENCES
J&J’S RESPONSE
BIG CHALLENGE FOR GORSKY
EXHIBITS

Keywords

Crisis Management, Brand Management, Packaging and labeling, Brand image, Reputation, Marketing Ethics, Business ethics, Baby powder, Johnson and Johnson, Talcum powder

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