H.

B Fuller Case study

Santosh Praneeth Rajan Kumar Brijesh Zaid Ankit Bharadwaj

Introduction
H. B. Fuller Founded in 1887 Operations in 40 countries Latin America share : Sales15 % : Profits 27% Revenue: 1243 billion in 1995 : 1097 billion in 1994

Problems & Causes

Resistol Sold and manufactured by H.B FullerToluene based product Set quickly, are adhesive and resistant to water Inhaling causes severe negative impacts to body, causes Neuro dis- orders Mostly poor street children are affected by sniffing H.B . Fuller not ready to Forego profits Failure of Government Regulation policies

1. Responsibility
HB Fuller not fully responsible for its products because of following reasons: Due to low per capita income and poverty Children were illiterate and could not understand the harms of inhaling toxic Resistol Support was extended by the company to educate children with help of social Groups

 Company took step to stop selling Resistol adhesives to common public 1994 the chemical Resistol was changed to Cyclohexane which was had slow evaporation though it also provided the same intoxication as Resistol Price of the product was increased in order to make it out of reach of children

2.H.B Fuller Conduct

H. B Fuller conduct was Immoral Despite Many studies have shown that use of Mustard oil will make Glue not attractive for sniffing at the same time preserving Glue quality for Industrial Use. Though H.B Fuller changed its formulae by adding cyclohexane, it did not produce sufficient results. Company did not made any efforts from their side to curb illegal distribution in retail market

 Also H.B Fuller has claimed that it was not directly responsible, but blamed subsidiaries. Though Company knows very well about the side effects of this product on children, but reluctant to forego profits or make changes to product. H.B Fullers conduct was highly immoral as it is not taking care of stake holders i.e. communities around which its Business runs and makes money.

3. Solutions
Set up R&D to find out a substitute for toulene and cyclo-hexanane, which does not give high on inhaling them. Company can provide shelter and awareness education to homeless children in drug- prone areas by moving them to safe places with help from social groups and govt. as part of CSR activity.

3. Solutions
Set up R&D to find out a substitute for toulene and cyclohexanane, which does not give high on inhaling them. Company can provide shelter and awareness education to homeless children in drug- prone areas by moving them to safe places with help from social groups and govt. as part of CSR activity. Company can conduct study if mustard in product will affect the retail sales for genuine users. Change the product by substitute with same effect.