Abstract: The case of Tylenol (a brand of a painkiller) is one of the game-changer events in the history of the global pharmaceutical business. It linked a reputed multinational pharmaceutical company in the world, Johnson, and Johnson (J &J) with a heart-wrenching series of human deaths in the USA, caused by consumption of a very popular medicine, called Tylenol, manufactured by J & J, as the parent company. The extra-ordinary response from the company’s side has not only resulted into a textbook lesson for crisis management, by keeping the interest of the stakeholders before the company’s financial performance, but also has become instrumental in bringing revolutionary changes in the packaging of medicines. The present case study elaborates the situation when J &J was engulfed with the ethical concerns for the safety of the consumers, as a result of the deaths which took place due to consumption of cyanide coated Tylenol capsule; how this unfortunate event threatened to weaken J & J’s brand value, market share and its reputation ; how did J & J’s top leadership responded to the crisis by addressing the concerns of the stakeholders; how the company effectively managed media relations; and what were the actions taken by the company to regain its reputation in the market as trusted company and protect its brand image as a company.
Learning Objectives
Crisis management by Johnson and Johnson
Effective use of media relations and public relations
Stakeholder management
Proactive leadership at Johnson and Johnson
Governance at Johnson and Johnson