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Johnson and Johnson Sun Care Product Competitor and Consumer Analysis - Essay Example

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Johnson & Johnson is a leading pharmaceutical and consumer packed products Company founded in 1886. Since that time, the company has developed a multibillion dollar business operating on the global scale. The company is located in the USA, but operates in 57 countries…
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Johnson and Johnson Sun Care Product Competitor and Consumer Analysis
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Download file to see previous pages The long term success of the company in the marketplace is predicated upon its ability to react to, anticipate, and even create needs. Johnson & Johnson is a large corporation with 16.929 Billion of operating income. Total assets of the company are about 84.912 Billion and net income is 12.949 Billion (2008). Johnson & Johnson specializes in pharmaceutical products, medical devices, healthcare products, soaps, shampoos, toiletries, etc. Still, sun care, skin care, health and beauty products, OTC and drug products occupy a large market share. The famous brands of Johnson & Johnson are Johnson's Baby, Coach, Gynol, REACH, etc (Johnson & Johnson Annual Report 6).
The company was founded in 1886 as a manufacture of ready-to-use surgical dressings. Robert Wood Johnson was the first president of Johnson & Johnson. The uniqueness of this company is diversification. The first consumer goods were manufactured in 1920s, toiletries were added in 1970s, and at the end of the 21st century the company developed a new division for medical and biopharmaceutical products (Johnson & Johnson Home Page). For Johnson & Johnson, the mingling of value construction and communication that occurs in businesses in which the customer enters the system is worth striving toward in manufacturing firms as well (Burke 3).
In Johnson & Johnson, strategic marketing is based on strategic thinking which can be seen as a unique vision of the problem. The subject of decision making raises the larger issue of the planning organization's strategic thinking; specifically, the question is about prerogative and responsibility. Although most "professionally managed" organizations now subscribe to "participatory" decision making, there is nowhere any uniform understanding of exactly what that means. According to the company's annual report, "international sales were 10.3%, 9.6% and 11.2%, respectively 10.8% over 2007 with 8.3% of this change due to operational growth"" (Johnson & Johnson Annual Report 35), The opportunities of Sun care products include high potential to growth and profitability, professional management team and unique corporate culture, customized order system and discounts. There is a great opportunities for ssupermarkets in this field, because specialized shops, throughout the world are interested in goods produced in the environmentally friendly manner. "The Skin Care franchise sales grew by 10.8% to $3.4 billion in 2008. The sales growth was primarily due to the AVEENO, CLEAN & CLEAR, NEUTROGENA and JOHNSON'S" (Johnson & Johnson Annual Report 35).
The company's market share is about 18 %. As for sun care products, the market share is about 11% of the total US market. For sun care products, the opportunities include high potential to development and expansion, professional approach to management and wider product range. Retail service assesses the areas in which the organization can benefit the most from greater emphasis on creativity and innovation. Competitive advantage serves both as a way of identifying what creative and innovative things competitors are doing as well as finding out for each of the areas requiring imagination and innovation who is the best. "Worldwide demand for products using natural ingredients continues to drive growth for the AVEENO brand, which uses a ...Download file to see next pagesRead More
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