Business Decision Making for Johnson & Johnson
BUSINESS DECISION MAKING
INTRODUCTION
Johnson and Johnson is an American multinational company founded in
Brunswick ,New Jersey in 1886 by American entrepreneur Robert Wood Johnson. It manufactures pharmaceuticals, medical devices and consumer products. J&J and its subsidiaries have operations in over 60 countries and sell their products in over 175 countries. Today, it employs 120,000 people worldwide.
They are the world’s second largest manufacturer of health care products
and the largest developer and manufacturer of medical treatment and diagnostic devices.
EXECUTIVE SUMMARY
Consumer Products Prescription Products Medical Devices and Diagnostics
Is actually the smallest division but include some of them most well know products
Is the second revenue earner for the company, focuses on medical needs in cardiovascular, metabolism, immunology and oncology
Is the largest segment producing medical equipment, surgical systems and devices
LISTERINE, NEOSPORIN, NEUTROGENA, SPLENDA, BAND-AIDS, TYLENOL,VISINE, ACUVUE, ONETOUCH, JOHNSON'S BABY PRODUCTS (LOTION, SOAP, SHAMPOO)
COMPETITIVE ADVANTAGE
Strong branding and customer loyalty Patient protection Diversification in research and development of new products A single focused business segment in healthcare Company structure / Management approach
EXTERNAL & INTERNAL ENVIRONMENTS
Consumer bargaining power Threat of entry Threat of substitutes Competition / Rivalry
• The largest risk is the possible nationalization of the U.S. healthcare system which would increase the buyer bargaining power.
•Is low because not many in the pharmaceutical industry is have the resources to fund many different potential drug candidates in parallel which is key to success in this industry.
• The largest threat of substitutes comes from generic pharmaceuticals most prevalent after patents expire
SWOT ANALYSIS STRENGTHS
Johnson & Johnson is one of the few companies having presence before
INTRODUCTION
Johnson and Johnson is an American multinational company founded in
Brunswick ,New Jersey in 1886 by American entrepreneur Robert Wood Johnson. It manufactures pharmaceuticals, medical devices and consumer products. J&J and its subsidiaries have operations in over 60 countries and sell their products in over 175 countries. Today, it employs 120,000 people worldwide.
They are the world’s second largest manufacturer of health care products
and the largest developer and manufacturer of medical treatment and diagnostic devices.
EXECUTIVE SUMMARY
Consumer Products Prescription Products Medical Devices and Diagnostics
Is actually the smallest division but include some of them most well know products
Is the second revenue earner for the company, focuses on medical needs in cardiovascular, metabolism, immunology and oncology
Is the largest segment producing medical equipment, surgical systems and devices
LISTERINE, NEOSPORIN, NEUTROGENA, SPLENDA, BAND-AIDS, TYLENOL,VISINE, ACUVUE, ONETOUCH, JOHNSON'S BABY PRODUCTS (LOTION, SOAP, SHAMPOO)
COMPETITIVE ADVANTAGE
Strong branding and customer loyalty Patient protection Diversification in research and development of new products A single focused business segment in healthcare Company structure / Management approach
EXTERNAL & INTERNAL ENVIRONMENTS
Consumer bargaining power Threat of entry Threat of substitutes Competition / Rivalry
• The largest risk is the possible nationalization of the U.S. healthcare system which would increase the buyer bargaining power.
•Is low because not many in the pharmaceutical industry is have the resources to fund many different potential drug candidates in parallel which is key to success in this industry.
• The largest threat of substitutes comes from generic pharmaceuticals most prevalent after patents expire
SWOT ANALYSIS STRENGTHS
Johnson & Johnson is one of the few companies having presence before