Johnson & Johnson: A Crisis Over Baby Powder

Author
Mastrocinque, N.; Beyer, C.; Gunasekara, N.; and O’Rourke, J. S. (editor)
Region
North America
Topic
Ethics & Social Justice
Strategy & General Management
Length
17 pages
Keywords
Product Safety
crisis
Company Mission
negative press
corporate communication
Student Price
$4.00
Target Audience
Graduate Students
Undergraduate Students
Executive Education
Other Audience

On July 12, 2018, a jury in St. Louis, Missouri, awarded $4.6 billion in damages to plaintiffs in a lawsuit against Johnson & Johnson over claims its baby powder caused ovarian cancer. This case examines three major lawsuits, Johnson & Johnson’s liability, and the company’s strategy for the future. 17 pp. Case #19-16 (2019)

Learning Outcomes
  1. To highlight how a company’s product may unintentionally harm the consumers it intends to benefit.
  2. To provide an illustration of the importance of transparency in corporate communications and product marketing.
  3. To provide an example of how a large and complex organization may adjust its approach to issues management and problem-solving over time.
  4. To encourage discussion about the importance of considering business and legal alternatives.