Ethical Issues of Johnson and Johnson Company

Entrepreneurship Development

Table of Contents
INTRODUCTION................................................................................................................................3
MAIN BODY.......................................................................................................................................4
PART 1 A.........................................................................................................................................4
PART 1 B.........................................................................................................................................6
PART 2 ............................................................................................................................................8
CONCLUSION..................................................................................................................................10
REFERENCES...................................................................................................................................11

INTRODUCTION
Ethics are the moral guidelines and principles which helps in governing the behaviour of the
person or conduct any activity. These ethics help the company's stakeholder so that they are not
faced with the legal regulation. The ethical framework means the set of codes and practices that are
being set to guide individual as well as the organisation. This framework define what is wrong or
right on the basis of ethics. In this report the ethical issues of Johnson and Johnson company are
being discussed. Johnson and Johnson company has done many unethical things just to increase
there sales and become more and more profitable, which has resulted in the deaths of many US
citizens. The analysis of the whole case of Johnson and Johnson company is being conducted and
the conclusion has been formed to deal with the situation.(Denecke, 2015)

MAIN BODY
PART 1 A
In the case study of the pharmaceutical company Johnson and Johnson there are some
ethical issues being faced by the company which is being addressed in this section.
The company was not honest with there customer as they were selling drug addicting
medicines to the people of US which has caused a widespread death in the country.(Baden, 2015)
There medicine contained opioid and they kept this fact hidden from the population of US, so the
company failed in meeting the fundamental ethics of integrity and honesty. The company kept there
interest above there stakeholder which has led to conflict of interest between Johnson and Johnson
and there stakeholders. The company was doing illegal task in order to boost there sales also they
didn't care about there customers as whether they live or die. The company also convinced the
doctors for suggesting there opioid containing medicines, the company did this by hiring a
consultancy firm McKinsey, which recommended that the sales force should focus on the doctors
already prescribing large amount of Purdue's OxyContin. The doctors were also ethically incorrect
as even after knowing the medicines contains opioid they were still prescribing these to the patient
which shows high abuse risk to there patients. The whole company was doing fraudulent and illegal
activity and by this they were making millions of dollars. This has impacted the every stakeholder
very badly as the customer got addicted and died, the shareholder lost there investment once the
company was caught and the employees lost there jobs. (Roberts, 2015)
The first and the foremost ethical issue was that has affected the society was of the company
running a fake sales campaign which have caused an addiction to the population of America, the