A Johnson and Johnson Crisis
University of Phoenix
Tuesday, June 5, 2012
In 1955, McNeil Pharmacies introduced the first aspirin-free pain reliever for children and called it Tylenol Elixir. In 1959 when Johnson and Johnson acquired the brand, the medicine’s net sales were $11.4 million and by the following year the prescription only drug was approved for sale over the counter. In 1961, the sales of Tylenol kept rising and options for the drug kept growing and now included an adult regular strength formula. By 1975 Tylenol’s line of products became the 5th best selling brand of any analgesic in the United States. This also helped Johnson and Johnson create ...view middle of the document...
When exposed to larger amounts of the chemical one will experience low blood pressure, lung injury, loss of consciousness, slow heart rate, and respiratory failure, which can lead to death. Those exposed must seek immediate medical care, in a hospital setting.
As soon as James Burke, the chairman of Johnson and Johnson found out about the crisis, he reacted by forming a seven-member strategy team. The two concerns that were first on the list were how to protect the people and how to save the product. The company immediately alerted consumers across the United States, through the media, to stop consumption of any and all Tylenol products and to not resume until further notice. The company began to recall the product in Chicago and the surrounding areas right away, but when finding two more contaminated bottles, they made the decision to recall the drug nation wide. By establishing a hotline for consumers, all questions and concerns the people had were addressed. Burke was taking this matter into his own hands to make sure that the problem was resolved in a timely manner and the company’s good name was not jeopardized.
All major networks and newspapers were taking the news and putting faces to the story to make the public sympathetic towards the families. While this was a good strategy to get the public against Johnson and Johnson, the way the company handled itself in this situation made the efforts of the media go unnoticed. Within six months...