Ethical Problems in Johnson and Johnson's Case Study

This report discusses the ethical problems faced by Johnson and Johnson in their case study, particularly related to the marketing of opioid drugs. It explores the impact of these ethical issues on society and stakeholders, and provides examples of good and bad ethics from other businesses. The report also recommends ethical theories that can be applied to the issue and provides suggestions for improvement.

BUSINESS ETHICS AND
RESPONSIBLE
MANAGEMENT

Table of Contents
INTRODUCTION-..........................................................................................................................3
PART 1 A-.......................................................................................................................................3
Ethical problems in case study of Johnson and Johnson's...........................................................3
Impact of ethical issues on society..............................................................................................4
Will ethical issue affect stakeholders..........................................................................................4
Examples of bad and good ethics from any other business lessons............................................5
Recommendation.........................................................................................................................6
REFERENCES................................................................................................................................7
PART 1 B- ......................................................................................................................................8
List of theories.............................................................................................................................8
Theories apply to issue................................................................................................................8
Critiques on theory......................................................................................................................9
Recommendation based on chosen theory...................................................................................9
REFERENCES..............................................................................................................................11
PART 2- Reflective essay..............................................................................................................12
Ethical leadership management meaning..................................................................................12
Differentiate between workplace ethics and personal ethics.....................................................12
Compliance and integrity applied in workplace........................................................................13
Own working experience as ethical worker...............................................................................13
CONCLUSION-............................................................................................................................13
REFERENCES..............................................................................................................................15

INTRODUCTION-
Business ethics and accountable management is most essential part for organizations to
consider when taking actions or making decision (Christians and et.al., 2015.). Business ethics
define that how firms conduct themselves in its policies, and practices and how they focus on
doing what is suitable for stakeholders and consumers. The present report is based on Johnson
and Johnson case related to ethical issue in Okalahoma. It explains the ethical problem in case
study of company, its effect society, stakeholders and justifies good or bad ethics from other
business case. It clarifies, theories, applied to specific issue and recommend the best one based
on selected case. Furthermore, it explains the ethical leadership management, difference between
personal and workplace ethics, way for applying compliance and integrity in workplace.
PART 1 A-
Ethical problems in case study of Johnson and Johnson's
Johnson and Johnson's is well-known brand in the world, they provide their services or
products to its consumers at global level. Due to opioid crisis in Oklahoma company is facing
trial over this period, which directly affects their overall business growth. It is one of the biggest
drug manufacturers, they deal with serious issue. 70,200 people were died due to take overdose
of illegal opioid, prescribe by many doctors in their prescription as painkiller tablet. In case of
J&J there are some ethical issues identify that-
 Company is blame of not addressing the quality control concerns in punctual fashion and
inadequate responsiveness to patient and customers complaints arising from goods issues.
 Another ethical issues is determined that organization is continued engage in aggressive
promotion to sell medications with high amount of opioid in market in order to keep their
profits and sales high with small regard for well-being of people.
 Johnson and Johnson's company persuade doctors to prescribe painkiller which have
large amount of opioid drugs, ahead of having knowledge about its side effects on people
life (Andersen and et.al, 2015). Doctors prescribe the medicines with clear affects in
their mind after taking opioid drug.
 Company avoid the conflicts and issues due to opioid drug, they continuously apply this
formula and provide products in other nations effectively in which India is mentioned.

All these activities mention above define the ethical issues and unethical practices of J&J
which is not appropriate for business. In Oklahoma due to dangerous and false sales marking of
drugs that cause people addicted, court claim over firm to pay $572 million.
Impact of ethical issues on society
Johnson & Johnson's consider opioid as profitable product for their business which helps
to increase profitability rather than before. They run sales campaign of this product that is
considered as one of the ethical issue which will impact on society well-being. According to the
Judge in Oklahoma, firm play major role for creating the worst drug epidemic in nation, which
affects the life of human and make all of them addicted (Cowie and et.al., 2016). Due to taking
overdoes of opioids drug many people were die, they are addicted and will not be able to live
without this harmful products which make them ill. Sales campaign of opioids is not suitable for
society, it affects negatively, opioids is kind of dangerous drugs that include illegal synthetic
fentanyl and painkiller available legally by doctor prescription such as OxyCotin. By planning
sales strategy company introduce their product in market which attracts people towards
purchasing, after taking this pain killer patients and consumers will addicted and it directly
affects on organ of human body. Marketing of this harmful products will not appropriate for
society, which caused deaths and addictions. J&J focus on increasing their profit margin by
selling their products instead of centring its side effects on people health, it causes nausea and
drowsiness. Company is playing negative role in society as they manufacture harmful drug and
also promote within marketplace. It affects their family friendly image and damage the
reputation of business effectively.
Will ethical issue affect stakeholders
Yes, ethical issues will affect different stakeholders of Johnson and Johnson' s company
by selling or marketing opioid drug. In case of J&J key stakeholder include medical community,
J&J Board of directors and most importantly consumers (Chonko, 2015). The condition of
business is relatively different form past few years, it exalts for appropriately presenting interest
of all stakeholders.
Customers is the main stakeholder of business which will affected and expressed their
deep disappointment at recent action of firm. Organization played role in creating the national
opioid epidemic that impacts on society as well as individual health. People show their anger
towards business activity that is sales campaign of opioid drug that affects one of the family

member health. Most of the parents make complain against marketing of these products because
it drives their younger children' towards taking this drug which is not suitable for well-being.
Medical community is another stakeholder of Johnson and Johnson business, physicians
and doctors is the part of this community, which will affected after crisis of opioid and ethical
issues that is sales campaign of this product. It will impact medical community negatively
because they are prescribing medicines with clear concept of its side effects on patients' life.
Adults in society is suffering from different maladies, they rely on guidance of members of
medical community who are prescribing these drugs and drive them towards death. They in turn
experience from short-sighted decisions made by Board of directors and managers of company.
Ethical problem of business by selling dangerous drug will affect J&J Board of
directors negatively and create most difficult situation for them in which they will take better
decision by focusing on society and individual well-being.
Ethical issues also affect pharmaceutical organization negatively it impact on consumer
loyalty and trust on firms.
US government is one of the key stakeholder which get affected due to ethical problems
they take actions before considering each point.
Examples of bad and good ethics from any other business lessons
Purdue Pharma is private pharmaceutical organization in USA, they provide painkiller
medicines to people with amount of opioid drug that made side effects on human life. 115
American died every single day as outcome of opioid overdoses. Like J&J, Purdue Pharma is
also facing the same ethical issue which impact on its market reputation and position negatively.
OxyCotin painkiller is form of narcotic will use to treat pain, prescribed by medical community
which affects on company image because they produce these products which is one of reason
behind death of younger people in society (Beaulieu and Pasquero, 2017). Consumers or patients
use Oxycontin for long term and misuse it which lead to addition, death or overdose. This
specific product is profitable for business as it increase sales for Purdue, but create issues after
the death of many people due to overdose of OxyContion. Organization is facing ethical issue
due to additional lawsuits and increasing public scrutiny after death of people misusing of
OxyContin produced by Purdue Pharma.
Biotechnology firm has new drug that will be first new health care treatment for angina,
like many another drug manufacture firms, they are facing the similar issue just like the other

faced and suffer from long term period. They sell this drug into many nations, such as Russia
that affects on patients' health. They made test on people to identify which market is best suited
for their business and where they can ear profit rather than before, it is considered as ethical
problem that bring many issues or fall crisis.
Recommendation
Stakeholders take corrective actions as provide solution that reduce risks of facing similar
issues again while operating business. They are recommended to evaluate the current situation in
order to take better decision.
Johnson and Johnson company who are facing some ethical issue in their business for
marketing opioid drug, are highly recommended stopping marketing of such harmful products
that affects on health or welfare of society as well as people (Lawrence and Weber, 2014). They
must realize the responsibility of business to improve the health of patients rather than increasing
profit margin. The judgement against company results in significant damages and large financing
penalties that affects on success and growth of business. To improve the reputation and enhance
the productivity, J&J should manufacture less harm full painkiller products for people which is
beneficial for both company and their consumers. It is clear that company made withdrawals
form their trust or faith at over that time. Decision must be made to take appropriate actions
much sooner than what happen.

REFERENCES
Book and Journals
Andersen, C and et.al, 2015. Formulations and methods for the controlled release of active drug
substances. U.S. Patent 9. 023. 394.
Bavli, I. and Steel, D., OxyContin Abuse Problem Appears NOT limited to the US: The Ethics
of Post-Market Surveillance of Pharmaceuticals in Canada.
Beaulieu, S. and Pasquero, J., 2017. Reintroducing stakeholder dynamics in stakeholder
thinking: a negotiated-order perspective. In Unfolding stakeholder thinking (pp. 101-
118). Routledge.
Chonko, L., 2015. JPSSM–Ethical issues in sales decision making.
Christians, C.G and et.al., 2015. Media Ethics: Cases and Moral Reasoning, CourseSmart
eTextbook. Routledge.
Cowie, M.R and et.al., 2016. e-Health: a position statement of the European Society of
Cardiology. European heart journal. 37(1). p.63.
Hartswood, M and et.al., 2014. Towards the ethical governance of smart society. In Social
Collective Intelligence (pp. 3-30). Springer, Cham.
Lawrence, A.T. and Weber, J., 2014. Business and society: Stakeholders, ethics, public policy.
Tata McGraw-Hill Education.
Online
Johnson & Johnson opioid ruling explained – the key points. 2019. [Online]. Available
through:<https://www.theguardian.com/us-news/ng-interactive/2019/aug/26/johnson-
johnson-opioid-ruling-explained-the-key-points>

PART 1 B-
List of theories
Johnson and Johnson case issue is the main part of this report which highlights the major
problems facing by firm. Traditional utilitarianism is moral theory based on ethics that define
ethics of actions (Hall and Page, 2015). This concept states that something is good or bad when
it manufactures the greatest amount of good for large number of people. In simple words it is the
theory of normative moral that define whether particular actions is bad or good, immoral or
moral. It places the locus of wrong and correct solely on consequences of selecting one policy or
practices over other substitute, as such, it drives beyond scope of one's own profit and takes into
account curiosity of others. There are different kinds of principles consist with this theory that
stated positive things and beneficial for human life.
Kant's theory is another moral theory which related to the ethical issue of J&S,
accordant to this concept wrongness or rightness of actions does not rely on its consequences but
it depends on whether actions are fulfilled role or specific duty. This theory defines the supreme
principles of ethics and refer to it as categorical imperative. The moral based on kant's ethics of
duty define that something must never be done, no matter what great and better consequences
they make, this concept is the well suited example of deontological moral theory.
Theories apply to issue
Utilitarian theory can applied in case of Johnson and Johnson ethical issue effectively
that can bring positive results (Willis, 2014). After considering the entire case patients are the
winners and Boards of director company is the losers. Company can apply this theory in their
business that helps to improve position in market and solve unethical allegations over them for
selling and campaign opioid which is considered as dangerous products for society and
consumers. According to this theory firm recognize their fundamental role, and understand the
importance of services which they provide to people for improving their health. Before
manufacturing products they have to consider its negative and positive affects on basis of
amount of pleasure or pain which is beneficial for business growth and long term success.
Kant's ethics of duty theory is also applied in case of ethical issue faced by business,
that affects on its stakeholders negatively (Formosa, 2014). According to this theory J&J
company show some concern towards welfare of human life. When they want to improve the
health of people and reduce their pain, they do not need to make harmful products that causes

death and make consumers ill. They do not sell their products through marketing, it is unethical
practices that negatively affects on well-being of local people and make them addicted as they
known more about opioid, people misuse these products.
Critiques on theory
As accordant to above discussion utilitarian theory is best and suitable in case of Johnson
and Johnson. Company will apply this theory in their work of practices, with the help of this they
can consider the factors that impact on human life, they understood effectively what is good for
people and which action is best for improving their living standards. By following the principles
of this theory, they can take better decision (Vaughn, 2015). Utilitarianism theory is better than
the others theories, it teaches business that harming people is wrong and the way they
manufacture or sell products is harmful for society and destroy the happiness of many families.
Its is easy and simple theory to implement in this case, it is a secular system that centring on
humanity and seeks to create high good. Utilitarian is doctrine which recommend that decision
and actions of work is correct when they are useful and beneficial of majority of population.
On the other hand, kant's ethics of duty is much better than utilitarian theory, as it helps
to provide basis of human dignity, rights, justice over short or long term utilitarianism, intrinsic
value and also provide basis for maintaining promises, commitments and contracts of human
well-being. This theory is based on morality and make company able to take decision based on
situation or reason, make it available to everyone. It does not depend on consequences, religious
law and motives of profits.
Recommendation based on chosen theory
Utilitarian theory is suggested to firms which helps to reduce reason of ethical issues
and bring a lot of benefits for its business. Through performing ethically and take good actions
company will sustain for longer period in marketplace and stay away from illegal allegations
because it is not appropriate for its brand image all around the world. By following the principles
of utilitarian theory organization must create their ethical structure for people and society. It is
highly recommended to business because they are facing issues due to producing and marketing
opioid drug that affects human life and make them addicted. This concept should implement in
work of business in which they only need to think about people health and their well fare instead
of making profit by selling large amount of this product in marketplace. By doing above actions,
issues could be reduced because know firm is thinking about doing good for people, they do not

promote their product in market until is will be approved by authority after reducing the amount
of harmful drug. Company working with other companies to create the world that is equally
happy and less dangerous for human life, they must manufacture less harmful medicines to
reduce pain.

REFERENCES
Book and Journals
Formosa, P., 2014. The role of vulnerability in Kantian ethics. Vulnerability: new essays in
ethics and feminist philosophy. Oxford University Press, Oxford. pp.88-109.
Hall, C.M. and Page, S.J., 2015. Following the impact factor: Utilitarianism or academic
compliance?. Tourism Management. 51. pp.309-312.
Vaughn, L., 2015. Doing ethics: Moral reasoning and contemporary issues. WW Norton &
Company.
Wei-li, Z.H.A.O. and Qiang, A.I., 2018. The Characteristics of the Ethical Thought of Mao
Zedong's Revolutionary Utilitarianism. Journal of Northwest University (Philosophy
and Social Sciences Edition). (1). p.7.
Willis, J.E., 2014. Learning analytics and ethics: A framework beyond utilitarianism. Educause
Review.

PART 2- Reflective essay
Ethical leadership management meaning
According to me ethical leadership management is form of correct leadership that is
directed by respect of values and moral beliefs and for ethical and dignity of others. It is related
to the ideas such as honesty, fairness, trust and charisma. It is the work practices of being
virtuous and loyal in role as manager in company. Several obligations and accountabilities of
ethical manager included in setting of good example (Zhu, Sun and Leung, 2014). Ethical
leadership is included management of collaboration and conduct good action within team. It
helps to maintain positive attitude in context of business and has many things to do with
developing and improving overall health of company. As ethical worker in organization I
understand the meaning of ethical leadership management and work accordingly for growth and
success of business. Ethics is concerned with kinds of morals and values a person finds
appropriate and desirable. As ethical employee I have able to understand the importance of
ethical practices or leadership management in my work which give positive results. Accordant to
my point of view by providing appropriate guidance and produce products with less harmful
materials any business will run their several operations effectively within specific industry.
Differentiate between workplace ethics and personal ethics
Personal ethics Workplace ethics
As compare to workplace ethics, personal
morals is quite different, it is considered in the
category of philosophy that identifies what a
person or individual believes about ethics,
wrong and right. It is mostly distinguished
from legal or business ethics. Personal ethics is
based on values and principles of individual
that govern interactions among person's. This
is typically those that appropriately impact
experience of co-workers or others when used
to regulate the person business or social related
behaviour. It also refers to the moral that
On the other hand workplace ethics refer to
moral that person should adhere to in respect of
their business and interactions while dealing in
their professional life. For example, health care
professionalize do not personally think or
believe that course of their medical treatment
select by patients is right or wrong. Work place
ethics is only focus on professional practices, it
centres on achieving business goals and
objectives instead of human well fare.
Productivity, responsibility, work life balance,
diligence and accountability are the different

individuals determines within respect to people
and conditions that they deal within daily life.
types of workplace ethics.
Compliance and integrity applied in workplace
Honour, trust, loyalty and honesty are the key factors to concept of integrity, it is one of
the fundamental believes that employers in company seek in workers that they recruit or select
for specific job role. It defines as hallmark of worker who demonstrate sound of ethical and
moral principles at work (Lu and Guy, 2014). Along with this, integrity is origin on which
people build trust, connections and effective interpersonal relationships in workplace. Integrity is
applied in workplace effectively with the help of creating effective relationship with trust and
honesty. Workers always act with this moral and be loyal to their co-workers in team, employees
will always tell truth to their leaders, and they are accountable as well as reliable with respect.
By working the right things and treat all the people in group equally integrity is applied in
workplace perfectly.
In addition to this, compliance is also applied in workplace because it is essential for
creating positive work environment around workplace (Valentine, Fleischman and Godkin,
2015). Compliance is procedure of taking assure that companies and workers follow regulations,
laws, standards and ethical practices that apply to workplace effectively.
Own working experience as ethical worker
While performing as ethical employee in company I had experience a lot of good
practices that helps in my future career growth effectively. My manager and leader always
support in work, they provide correct guidance that help to complete my work on time without
delay or any issues. Superior take better decision which is usually moved towards well-being and
well fare of all the employees work at same platform in order to achieve business objectives.
Instead of this I had also experienced some wrong things which affects on my work
abilities and performance negatively. During my job period I had experience unethical actions
that reduce productivity and maximize problems in workplace. My co-workers do not complete
their task on time, and always involve in another unnecessary activities that influence to do the
same when leader and other members in authority will not present in company.

CONCLUSION-
From above, it has been concluded that J&J facing major ethical issues, which damage
their brand image in market. By applying suitable theories company overcome to crisis, they
behave ethically and take actions for well-being of people rather than personal interest of
increasing profit margin. Utilitarian theory is appropriate in case of company that helps to build
its strong position in market and gain revenue. Furthermore, working as ethical workers people
are facing many issues or challenges, in that case they always thing and act positively and
behave ethically to others in workplace.

REFERENCES
Book and Journals
Lu, X. and Guy, M.E., 2014. How emotional labor and ethical leadership affect job engagement
for Chinese public servants. Public Personnel Management. 43(1). pp.3-24.
Menzel, D.C., 2014. Ethics management for public administrators: Building organizations of
integrity. Routledge.
Valentine, S., Fleischman, G. and Godkin, L., 2015. Rogues in the ranks of selling
organizations: Using corporate ethics to manage workplace bullying and job
satisfaction. Journal of Personal Selling & Sales Management. 35(2). pp.143-163.
Vardaman, J.M., Gondo, M.B. and Allen, D.G., 2014. Ethical climate and pro-social rule
breaking in the workplace. Human Resource Management Review. 24(1). pp.108-118.
Zhu, Y., Sun, L.Y. and Leung, A.S., 2014. Corporate social responsibility, firm reputation, and
firm performance: The role of ethical leadership. Asia Pacific Journal of
Management. 31(4). pp.925-947.