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A study on

Customer satisfaction
towards

Johnson and Johnson


Baby Products
Introduction

About the topic


Consumer behavior is that the study of however individual
customers, teams or organizations choose, buy, use, and dispose ideas,
goods, and services to satisfy their needs and wants. It refers to the actions
of the customers within the marketplace and therefore the underlying
motives for those actions. Marketers expect that by understanding what
causes the customers to shop for specific product and services, they're
going to be ready to confirm that product square measure required within
the marketplace, which are obsolete, and the way best to gift the products
to the customers. The study of shopper behavior assumes that the
customers square measure actors within the marketplace. The perspective
of role theory assumes that customers play numerous roles within the
marketplace. Starting from the data supplier, from the user to the
remunerator and to the disposer, consumers play these roles in the
decision process. The roles conjointly vary in numerous consumption
situations; as an example, a mother plays the role of associate influencer in
a very child’s purchase method, whereas she plays the role of a disposer
for the product consumed by the family.

About the industry

Introduction

India is the largest provider of generic drugs globally. Indian pharmaceutical sector
industry supplies over 50 per cent of global demand for various vaccines, 40 per cent of
generic demand in the US and 25 per cent of all medicine in UK.
India enjoys an important position in the global pharmaceuticals sector. The country
also has a large pool of scientists and engineers who have the potential to steer the
industry ahead to an even higher level. Presently over 80 per cent of the antiretroviral
drugs used globally to combat AIDS (Acquired Immune Deficiency Syndrome) are
supplied by Indian pharmaceutical firms.

Market Size

The pharmaceutical sector was valued at US$ 33 billion in 2017. The country’s
pharmaceutical industry is expected to expand at a CAGR of 22.4 per cent over 2015–
20 to reach US$ 55 billion. India’s pharmaceutical exports stood at US$ 17.27 billion in
FY18 and have reached US$ 19.14 billion in FY19. Pharmaceutical exports include bulk
drugs, intermediates, drug formulations, biologicals, Ayush & herbal products and
surgicals.
Indian companies received 304 Abbreviated New Drug Application (ANDA) approvals
from the US Food and Drug Administration (USFDA) in 2017. The country accounts for
around 30 per cent (by volume) and about 10 per cent (value) in the US$ 70-80 billion
US generics market.
India's biotechnology industry comprising bio-pharmaceuticals, bio-services, bio-
agriculture, bio-industry and bioinformatics is expected grow at an average growth rate
of around 30 per cent a year and reach US$ 100 billion by 2025.

Investments and Recent Developments


The Union Cabinet has given its nod for the amendment of the existing Foreign
Direct Investment (FDI) policy in the pharmaceutical sector in order to allow FDI up to
100 per cent under the automatic route for manufacturing of medical devices subject to
certain conditions.
The drugs and pharmaceuticals sector attracted cumulative FDI inflows worth US$
15.98 billion between April 2000 and March 2019, according to data released by the
Department of Industrial Policy and Promotion (DIPP).
Some of the recent developments/investments in the Indian pharmaceutical sector are
as follows:

 Between Jul-Sep 2018, Indian pharma sector witnessed 39 PE investment deals worth US$
217 million.
 Investment (as % of sales) in research & development by Indian pharma companies*
increased from 5.3 per cent in FY12 to 8.5 per cent in FY18.
 In 2017, Indian pharmaceutical sector witnessed 46 merger & acquisition (M&A) deals
worth US$ 1.47 billion
 The exports of Indian pharmaceutical industry to the US will get a boost, as branded drugs
worth US$ 55 billion will become off-patent during 2017-2019 .
Government Initiatives

Some of the initiatives taken by the government to promote the


pharmaceutical sector in India are as follows:

 In October 2018, the Uttar Pradesh Government announced that it will set up six pharma
parks in the state and has received investment commitments of more than Rs 5,000-6,000
crore (US$ 712-855 million) for the same.
 The National Health Protection Scheme is largest government funded healthcare
programme in the world, which is expected to benefit 100 million poor families in the
country by providing a cover of up to Rs 5 lakh (US$ 7,723.2) per family per year for
secondary and tertiary care hospitalisation. The programme was announced in Union
Budget 2018-19.
 In March 2018, the Drug Controller General of India (DCGI) announced its plans to start a
single-window facility to provide consents, approvals and other information. The move is
aimed at giving a push to the Make in India initiative.
 The Government of India is planning to set up an electronic platform to regulate online
pharmacies under a new policy, in order to stop any misuse due to easy availability.
 The Government of India unveiled 'Pharma Vision 2020' aimed at making India a global
leader in end-to-end drug manufacture. Approval time for new facilities has been reduced
to boost investments.
 The government introduced mechanisms such as the Drug Price Control Order and the
National Pharmaceutical Pricing Authority to deal with the issue of affordability and
availability of medicines.

Road Ahead
Medicine spending in India is projected to grow 9-12 per cent over the next five
years, leading India to become one of the top 10 countries in terms of medicine
spending.
Going forward, better growth in domestic sales would also depend on the ability of
companies to align their product portfolio towards chronic therapies for diseases such
as such as cardiovascular, anti-diabetes, anti-depressants and anti-cancers that are on
the rise.
The Indian government has taken many steps to reduce costs and bring down
healthcare expenses. Speedy introduction of generic drugs into the market has
remained in focus and is expected to benefit the Indian pharmaceutical companies. In
addition, the thrust on rural health programmes, lifesaving drugs and preventive
vaccines also augurs well for the pharmaceutical companies.
iNFOGRAPHIC
REPORTS
 Indian pharmaceutical sector industry supplies over 50 per cent of global demand
for various vaccines, 40 per cent of generic demand in the US and 25 per cent of
all medicine in UK. India contributes the second largest share of pharmaceutical
and biotech workforce in the world. The pharmaceutical sector in India was
valued at US$ 33 billion in 2017. India’s domestic pharmaceutical market
turnover reached Rs 1,29,015 crore (US$ 18.12 billion) in 2018, growing 9.4 per
cent year-on-year (in Rs) from Rs 1,16,389 crore (US$ 17.87 billion) in 2017.

 The Indian pharmaceuticals market stood at Rs 1.39 lakh crore (US$ 19.89
billion) for the year ending November 2019 with Lupin, Mankind Pharma, Intas
Pharmaceuticals and Alkem Laboratories leading the growth. Indian pharma
companies received a total of 415 product approvals in 2018 and 73 tentative
approvals. Affordable medicines under the Pradhan Mantri Bhartiya Janaushadhi
Pariyojana (PMBJP) have led to savings of Rs 1,000 crore (US$ 143.08 million)
for Indian citizens in FY19.

 With 71 per cent market share, generic drugs form the largest segment of the
Indian pharmaceutical sector. Based on moving annual turnover, Anti-Infectives
(13.6 per cent), Cardiac (12.4 per cent), Gastro Intestinals (11.5 per cent) had
the biggest market share in the Indian pharma market in 2018.

 Indian drugs are exported to more than 200 countries in the world, with the US as
the key market. Generic drugs account for 20 per cent of global exports in terms
of volume, making the country the largest provider of generic medicines globally
and expected to expand even further in coming years. Pharmaceutical exports
from India, which include bulk drugs, intermediates, drug formulations,
biologicals, Ayush & herbal products and surgicals reached US$ 19.14 billion in
FY19 and US$ 10.8 billion in FY20 (up to November 2019). The exports are
expected to reach US$ 20 billion by 2020. In FY18, 31 per cent of these exports
from India went to the US. Healthcare sector witnessed private equity investment
of US$ 1.1 billion with 27 deals in first half of 2019.

 Medical devices industry in India has been growing 15.2 per cent annually and
was valued at US$ 5.2 billion in 2018 and expected to grow US$ 8.16 billion by
2020 and reach US$ 25 billion by 2025.

 The ‘Pharma Vision 2020’ by the government’s Department of Pharmaceuticals


aims to make India a major hub for end-to-end drug discovery. The sector has
received cumulative FDI worth US$ 16.27 billion between April 2000 and
September 2019. Under Budget 2019-20, total allocation to the Ministry of Health
and Family Welfare is Rs 62,599 crore (US$ 8.96 billion). Rs 6,400 crore (US$
915 million) has been allocated to health insurance scheme Ayushman Bharat-
Pradhan Mantri Jan Arogya Yojana (AB-PMJAY). As per Union Budget 2019-20,
Rs 1,900 crore (US$ 0.27 billion) have been set aside for research of the total
amount and Rs 62,659 crore (US$ 8.96 billion) allocated for Ministry of Health
and Family Welfare. In November 2019, Cabinet approved the extension/renewal
of the extant Pharmaceuticals Purchase Policy (PPP) with the same terms and
conditions while adding one additional product namely, Alcoholic Hand
Disinfectant (AHD) to the existing list of 103 medicines till the final
closure/strategic disinvestment of the Pharma CPSUs.

 As per Economic Survey 2018-19, government expenditure (as a percentage of


GDP) increased to 1.5 per cent in 2018-19 from 1.2 per cent in 2014-15 for
health. Indian pharmaceutical sector is expected to grow at a CAGR of 22.4 per
cent and medical devices market is expected to grow to US$ 55 billion by 2020.
FDI increased to 74 per cent in existing pharmaceutical companies and 100 per
cent for new projects.

About the Company


Overview
Johnson & Johnson was formed by three brothers in 1886, Founded with the
ideas of Doctors and nurses using sterile suture, dressings along with bandages where
used to treat peoples’ wounds. Since more than 125 years ago the company Johnson &
Johnson, through its Family of Companies (“the Company”), is the world’s most
comprehensive and broadly based manufacturer of health care products, as well as a
provider of related services for the consumer, pharmaceutical and medical devices and
diagnostics markets. Our more than 275 operating companies employ approximately
127,600 employees in 60 countries, Globally, the supply chain network across Johnson
& Johnson includes 125 manufacturing sites, 400+ distribution centers and more than
600 external manufacturers. According to J&J official Sales by U.S. companies were
$29.8 billion in 2012, $28.9 billion in 2011 and $29.5 billion in 2010. This represents an
increase of 3.2% in 2012, and decreases of 1.8% in 2011 and 4.7% in 2010.

Johnson & Johnson operates as an investment holding company with interests in


health care products. It engages in research and development, manufacture and sale of
personal care hygienic products, pharmaceuticals and surgical equipment. The
company, through its subsidiaries operates in three business segments: Consumer,
Pharmaceutical and Medical.

HISTORY
Johnson & Johnson is an American multinational medical devices,
pharmaceutical and consumer packaged goods manufacturer founded in 1886. Its
common stock is a component of the Dow Jones Industrial Average and the company is
listed among the Fortune 500.

Johnson & Johnson ranked at the top of Interactive National Corporate


Reputation Survey for seven consecutive years up to 2005, was ranked as the world's
most respected company by Barron's Magazine in 2008, and was the first corporation
awarded the Benjamin Franklin Award for Public Diplomacy by the U.S. State
Department in 2005 for its funding of international education programs. However, in
recent years the company's reputation has been adversely affected by product recalls,
fines for pharmaceutical marketing practices, litigation with a group of shareholders, and
other legal issues.

Inspired by a speech by antiseptic advocate Joseph Lister, Robert Wood


Johnson joined his brothers James Wood Johnson and Edward Mead Johnson to
create a line of ready-to use surgical dressings in 1885. The company produced its first
products in 1886 and incorporated in 1887.

Robert Wood Johnson served as the first president of the company. He worked
to improve sanitation practices in the nineteenth century, and lent his name to a hospital
in New Brunswick, New Jersey. Upon his death in 1910, he was succeeded in the
presidency by his brother James Wood Johnson until 1932, and then by his son, Robert
Wood Johnson II.

CHAIRMEN

 Robert Wood Johnson I (1887–1910)

 James Wood Johnson (1910–1932)


 Robert Wood Johnson II (1932–1963)

YEAR WISE DEVELOPMENT

1959- Johnson & Johnson vision care, Inc, begins as frontier contact lenses,
based in buffalo New York. A few years later, the company moves to Jacksonville,
Florida, U.S.A. 1981- Johnson & Johnson acquires frontier, and in 1982 changes the
US company name to VISTAKON. 1997- Johnson & Johnson announces it will be
adding UV (ultraviolet) protection to its entire line of ACUVUE® disposable contact
lenses. The new enhancement will be a standard feature in all ACUVUE® contact
lenses.

AWARDS & RECOGNISATION


 In the year 2005 Johnson & Johnson was recognized by national safety council for the
excellence in environmental, health and safety management.

 In the year 2006 working mother magazine named Johnson & Johnson in best 100
places to work for mother.

 Fortune magazine ranked Johnson & Johnson in 9th position in overall industry and
also listed it in the American most admired companies in 2006.

 In the year 2007 Johnson & Johnson received the spark award for the new packing
and advertising campaign.

TYPES OF JOHNSON’S BABY LOTION


1. Johnson’s nourishing milk lotion
Provides essential nutrients, milk proteins and Vitamins A, D & E. Clinically
proven mildness. Johnson's Baby Nourishing Milk Lotion combines natural milk
proteins, rich emollients and Vitamins A, D & E. It moisturizes immediately and for 24
hours to nourish skin all day from application to application. The result is skin that is
softer and smoother longer. This non-greasy formula is clinically proven mild, allergy
and dermatologist tested, so you can trust it for use on skin of all types.

2. Johnson’s baby milk lotion


The Johnson's Baby Milk Lotion is very mild and gentle on the skin. Baby skin is
extremely soft and supple and thus gets easily affected when exposed to even slightly
harsh conditions. It is the parent’s responsibility to take utmost care of their kids and
save them from any harm. So if you want your baby to have a nourished skin, please do
apply the Johnson’s Baby Milk Lotion on them on a regular basis. Made with the
goodness of Vitamin A and E, this can work wonders to your child’s skin. Many parents
often make the mistake of experimenting and applying fancy aromatic and herbal oils on
their infant’s skin. Infant skin is

3. Johnson’s baby soothing natural nourishing lotion


Johnson's Soothing Naturals Nourishing Lotion combines Johnson’s mildness with a
unique blend of Olive Leaf Extract, pure Vitamin E, and skin essential minerals.
Johnson’s Naturals Nourishing Lotion starts soothing and relieving baby’s dry skin from
the first use, and provides the nourishment skin needs to help restore lost moisture,
helping relieve extra dry patches. Fast absorbing and non-greasy, Johnson’s Naturals
Nourishing Lotion moisturises for 24 hours.

 Clinically proven to be mild.

 Thoroughly tested by dermatologists and allergy tested.

4. Johnson’s baby lotion shea & cocoa butter


Johnson's® Shea & Cocoa Butter Lotion combines shea and cocoa butters,
ingredients long known to soothe and relieve dry skin, with hydrating emollients, to
maintain skin's natural

5. Johnson’s baby honey apple lotion


We love babies. And we understand their delicate skin loses moisture more
quickly than adults' skin. That's why we created our sweet-smelling Honey AppleBaby
Lotion, with gentle emollients to help maintain skin's natural moisture for 24 hours. Our
fast-absorbing CLINICALLY PROVEN MILDNESS formula is allergy-tested, so it can be
used on all skin types.

 Clinically proven mildness

 Nourishing for sweet baby soft skin


Annexure

 https://www.ijresm.com/Vol.2_2019/Vol2_Iss2_February19/IJRESM_V2_I2_81.pdf
 https://www.ibef.org/industry/pharmaceutical-india.aspx
 http://ijariie.com/AdminUploadPdf/A_STUDY_ON_CUSTOMER__SATISFACTION_TOWARDS_JOH
NS_ON__PRODUCTS_IN_COIMBATORE_CITY_ijariie5685.pdf

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