Johnson & Johnson Co.

Johnson & Johnson has a distinctive competency, in that its products are differentiated from those of its competitors and the brand name is one that is widely recognized and trusted.

The competence is based on Johnson & Johnson's commitment to customer satisfaction, in its dedication to innovation and advancement in technology, since the company's inception in 1885 (Retrieved September 23, 2007, from http://www.jnj.com/our_company/our_credo/index.htm). The company conducts ongoing research and development, while maintaining efforts to reduce costs and passing on these savings to consumers.

The competence then results in Johnson & Johnson having the competitive advantage of products differentiated by their superior quality and reliability, while being pioneers in their class. The company's first commitment to its consumers results in products that consumers value and trust, leading to greater profitability.

This competence is as a result of both tangible and intangible resources. Tangible resources include research laboratories and equipment, as well as the company's human resources. These tangible resources lead to the pioneering quality of Johnson & Johnson's products. Intangible resources include the Johnson & Johnson brand name, which is intentionally recognized, as well as the company's reputation and intellectually property, such as patents and trademarks. Both these tangible and intangible resources arise as a result of innovations within the company, as well as the company's acquisitions.

The company's capabilities are borne out of its responsibility to employees, second only to that of consumers. Johnson & Johnson's credo demonstrates that the company values its employees and recognizes their contributions, for which they will be adequately compensated (Retrieved September 23, 2007, from http://www.jnj.com/employee_resources/index.htm.

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