Johnson & Johnson's

Description
Johnson & Johnson is an American multinational medical devices, pharmaceutical and consumer packaged goods manufacturer founded in 1886.Johnson & Johnson's brands include numerous household names of medications and first aid supplies. Among its well-known consumer products are the Band-Aid Brand line of bandages, Tylenol medications, Johnson's baby products, Neutrogena skin and beauty products, Clean & Clear facial wash and Acuvue contact lenses.

SWOT Case Study
Johnson & Johnson
Background
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Johnson & Johnson formed in1886 and it released it’s product of note in 1896
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The firm branched out in 1919 and !as listed on the "e! #or$ Stoc$ %&chan'e in
19((
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O)er the years Johnson & Johnson has 'ro!n substantially due to strate'ic
ac*uisitions such as "eutro'ena in 199( and +e,uy in 1998- .rom 1989 to 1999
the company made (/ such ac*uisitions of companies and product lines
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Today the firm can boast of re)enues e&ceedin' 061891 million durin' the financial
year endin' in +ecember 2339
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Johnson & Johnson products fall into three main cate'ories4 ,harmaceuticals
5edical +e)ices & +ia'nostics and Consumer 6ealth care
Johnson & Johnson’s Stren'ths
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A Substantial Marketing Arsenal 7 Can call upon a net!or$ of subsidiaries !ith
si'nificant sales and mar$etin' pro!ess as !ell as e&pertise in a number of therapy
areas- The company possesses a 'lobal sales force !hich ser)es to attract 8oint )enture
possibilities
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Strategic Acquisitions 7 5aintained a stable financial position by utilisin' cash reser)es
to finance corporate ac*uisitions
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Product Diversification 7 The pharmaceutical 5edical +e)ices & +ia'nostics and
Consumer 6ealth di)isions act to reduce dependence upon any one area and allo!s a
!ider ran'e of choice !hen pursuin' opportunities !ith the 'reatest 'ro!th prospects
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Positive Revenue Growth Projections 7 The potential of an impressi)e number of ne!
product launches and the promise of achie)in' forecast sales is said to bode !ell for
Johnson & Johnson
Johnson & Johnson’s Wea$nesses
? Dependence upon the Success of aunch Products 7 5any ne! launch products are
)ulnerable to the uncertainty of re'ulatory re)ie!
? Reliance on S!all Molecule Drugs 7 Small molecules are more impacted by 'eneric
competition- Johnson & Johnson’s small molecule dru' sales declined in 2338 and are
forecast to fall further into 2312- The necessity of findin' replacements for billion dollar
products as they mature represents an dauntin' tas$
Johnson & Johnson’s Opportunities
? "ide Range of Potential #ross$selling %pportunities 7 Johnson & Johnson is in a
position to strate'ically de)elop a myriad of cross sellin' opportunities- 5a&imi9in' its
balance bet!een pharmaceuticals dia'nostics and medical de)ices could result in
increased re)enues
? Potential to &'ploit Biologics Market 7 The addition of further biolo'ics :e-'- therapeutic
proteins antibodies; to its portfolio can ser)e as a buffer as small molecule patents e&pire
Johnson & Johnson’s Threats
? Dependence on the Success of aunch Products 7 5any ne! launch products are
)ulnerable to the uncertainty of re'ulatory re)ie! therefore a reliance upon launch
products potentially represents a threat to Johnson & Johnson’s outloo$-
? (egative )!pact of Recent Product Recalls 7 Johnson and Johnson has had the
misfortune of ha)in' to recall of more than (3 medicines recently- The company stands to
ta$e a hit to it’s reputation competence and inte'rity-
After anal*sing their S"%+, -ohnson . -ohnson now have to co!e up with an action
plan to address/solve the proble! the* have been addressing

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