Critical Thinking

In this paper I reviewed the case of 7 people who mysteriously died after taking the

everyday pill, Tylenol. I examine how the case unfolded and if someone should be

responsible for the deaths, who should. Being a criminal justice major, this paper shows

my investigative work into the crime as well as my analysis of what happened and who, if

anyone, should be responsible for the deaths. Wanting to eventually become a detective,

this paper positively reinforces my skills of investigative work and data analysis.

Tylenol is pain relieving drug medication produced by Johnson & Johnson. Tylenol

was original developed by McNeil laboratories before the company was bought out by

Johnson & Johnson in 1959. When Johnson & Johnson took over the brand they first started

advertising Tylenol as alike to aspirin yet easier on the stomach as well as being the cheaper

product. At this point, Tylenol medications commanded 35% of the US over the counter

analgesic market-representing 15% of the companys market. (SeegerWeiss) With the

release of a number of studies in the early 1970s which questioned the wisdom of widespread

dependency on aspirin as a pain-killer, the use of acetaminophen accelerated with Tylenol

accounting for 90 percent of acetaminophen sales. Two-thirds of Tylenol users were

introduced to the product by physicians. Others became familiar with it through hospitals,

where it was used extensivelynot necessarily because it was the medication of choice, but

because it was generally less expensive than other analgesics and less interactive than

aspirin. (SeegerWeiss) When these allegations came out questioning how strong the product

actually was in 1976 Johnson & Johnson introduced extra-strength Tylenol 500mg of pain

killer per unit making it the strongest over the counter analgesic on the market. After the
product launch Johnson & Johnson continued to see their funds increasing until September

29, 1982.

On September 29, 1982 seven people in Chicago and nearby close suburbs suddenly

died after consuming Tylenol analgesic. Later determined the Tylenol was laced in all seven

on the victims analgesic with cyanide. Cyanide can be describes as, as salt or ester of

hydrocyanic acid, containing the anion CN or the group CN. The salts are generally

extremely toxic. (Oxford) James Burke who was the companys chairman and CEO at the

time immediately recalled 31 million bottles off the market in the Chicago area after learning

about the deaths. This of course was a huge blow to the companys economic stand point but

ultimately resulting in their market dropping $1 billion and losing $100 million in revenue.

Burkes decision to pull the product from the market created customer safety and loyalty with

Burke being admired for his actions. Years after the recall its share of the $1.2 billion

analgesic market, which had plunged to 7% from 37% following the poisoning, had climbed

back up to 30%. (Rehak)

In Feb of 1986 history seemed to repeat itself when a women mysteriously died from

another cyanide laced Tylenol. This time Johnson & Johnson stopped all sales of the product

and removed the product from the market all together and not just in the region where the

death took place. The economic impact was devastating but guaranteeing customer loyalty

was their focus. After losing millions in sales Johnson & Johnson had four new steps to make

sure the poisoning will not take place any longer. First, Tylenol products were re-introduced

containing a triple-seal tamper resistant packaging. It became the first company to comply

with the Food and Drug Administration mandate on tamper-resistant packaging.

Furthermore, they promoted caplets, which are more resistant to tampering. (Mitchel 1989)

Secondly, In order to motivate consumers to buy the product, they offered a $2.50 off

coupon on the purchase of their product. They were available in the newspapers as well as by

calling a toll-free number. (Mitchell 1989) Thirdly, To recover loss stock from the crisis,

Johnson & Johnson made a new pricing program that gave consumers up to 25% off the

purchase of the product. (Mitchell 1989) Finally, Over 2250 sales people made

presentations for the medical community to restore confidence on the product. (Mitchell

1989) Since the death in 1986 there has yet to be another reported death because of Tylenol.

Since the first crisis situation popped up in 1982 if you had invested $1,000 in

Johnson & Johnson shares on September 28, 1982, just before the first Tylenol episode, you

would have $22,062 today after four stock splits. The company paid out increasing dividends

for 39 years. (Rehak) After James Burke stepped down as CEO and Chairman of Johnson &

Johnson his replacement is Ralph S. Larsen. Since Larsen has taken over the company he has

managed to not have any crisis situations like in the past and also expanding the company

overseas to Russia and Eastern Europe to further develop their market.

After finding out more about the scandal that went on inside the company of Johnson

& Johnson my thoughts are that although it is unfortunate that the 8 people died from

consuming their product, the real thing I see wrong about the whole situation is the fact that

not one person has been charged or convicted for the murder of any of those 8 victims. My

feelings do not change towards the company because of the millions of people across the

globe that consume the product every day do not die. The deaths seem to me to be a horrific

act of terrorism towards innocent people and whoever did this should be punished. James
Burke, CEO and Chairman during this time, I believe made a crucial and beneficial call

when he ordered the Tylenol off the markers after learning about the deaths. I feel without his

quick judgement their could have been other contaminated bottle that would have been

consumed leading to a higher death rate. Because Mr. Burke cared for the safety of the

costumer before the money he saved his company from going downhill fully. I feel as though

this type of thing could happen with any pharmaceutical company because all it takes is one

evil pharmacist to spike the pill. Although we think and hope that this problem is solved, all

it takes is once for it to happen again.