Essay on Johnson & Johnson Case Study

Words: 4258
Pages: 18


Johnson & Johnson is a multi-national company comprised of various operating companies situated all over the world, and the world’s most comprehensive and broadly based manufacturer of pharmaceuticals, medical devices and high-value diagnostic products and services for the global health care community. General Robert Wood Johnson and his two brothers started a company in 1885 that would eventually help revolutionize the surgical and medical fields with innovative products and services. The products made by the various operating companies affiliated with Johnson & Johnson are summarized as follows:
Johnson & Johnson products and services
1. Consumer products
These includes products designed to various
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Each firm is held responsible for setting, managing and meeting its own market and financial goals and targets.
• Strategy in the more recent past has been characterized as driven by a realization that the nature of the healthcare industry is changing, and in some segments changing rapidly. In an effort to contain costs, increase convenience and reduce response time, J&J firms have tried to insure that health care providers are guided by J&J strategy so that they place all their orders with a single J&J vendor.
• Similarly, in the J&J consumer products firms, large chains such as Wal-Mart have become important customers. These customers prefer a single point of interaction with the company, which fits well with J&J supply strategy. However, the practice of having multiple J&J operating companies competing for the business of many of the same large commercial buyers and individual customer market segments has been found not to be a sound component of J&J's overall market strategy.
• More recently there has been a shift in J&J strategy necessitated by the need to respond proactively to new market developments and changes. The company has responded by creating two large units – the Customer Support Center which markets products by the various operating