If J&J knew about the potential risks of talcum powder products in 1987, should the company have ...

Tylenol in 1982 posed a double threat: 1) sudden death 2) uncertainty of the extent of the problem, since the tainting was post-production and could not be traced to any particular batch number.
Talcum powder posed a different threat: 1) prolonged exposure over years was necessary to cause death, and 2) use of the product on one part of the body was most at issue. At a minimum, J&J should have added a warning to its talcum powder label, as soon as correlative effects were observed, to the effect that the product should not be used on genitalia, and that prolonged exposure to the talcum powder may cause cervical cancer. By doing nothing, J&J acted unethically, irresponsibly, and without compassion, fairness, integrity, honesty, or predictability.