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Floating Lime

Greenwashing: The Reality Behind Your Favorite "Eco-Friendly" Brands


As the threat of the climate crisis continues to close in, organizations around the world have been consistently subjected to the pressure of ensuring their corporate activities and business operations reduce negative impact on the environment. Many of these companies aligned themselves with eco-friendly principles, preaching their sustainable practices in conserving the environment in an attempt to drive up customer engagement and maximize profits. Though these companies repeatedly assure consumers regarding their attempts at being socially responsible and publicizing their lack of carbon footprint, it is still evident that there is still a significant adverse impact on the global environment due to corporate activities. Based on the steady decline of the planet's ecosystems as well as the rapid acceleration of global temperatures in recent reports, it is suggested that though organizations are claiming to practice sustainable customs within their business operations, these declarations may be inflated or even fabricated to appease organizational stakeholders and obscure the extent of their carbon impact.


Dubbed as greenwashing, it is a marketing tactic adopted by corporations to deceptively persuade consumers as well as the public that the organization's products, policies and aims are environmentally friendly. The term emerged in the mid-1980s, when the oil company, Chevron, went public with their campaign People Do, which presented their employees acting to protect endangered animals and their habitats. The campaign was highly effective as Chevron even received a prominent award for their supposed attempts at conserving the environment, despite the critical impact their general business activities had on the environment.


Since then, there has been a constant rise in greenwashing and ineffective regulation among brands, resulting in increased public skepticism towards claims of sustainability. Despite having environmentally unsustainable core business models, many companies are working to engage consumers in their sustainability efforts. One such example is the replacement of plastic bags with compostable alternatives by notable businesses, even though the products bought and carried in those bags pose a considerable threat to the environment. Such initiatives are intended to misdirect the consumer and shift their focus from the unethical practices of organizations towards something that is peripheral. It also diminishes the power of consumers to drive organizations towards more environmentally-conscious processes and business activities, leading to a lack of accessibility in procuring eco-friendly products.


However, not all products that are marketed as being sustainable are necessarily greenwashed. Some organizations employ green marketing strategies, which are when companies sell goods and services based on legitimate environmental practices. Products of green marketing are presented through practical and transparent means and guarantees the moral obligation for organizations to be more socially responsible. In order to identify products that have been greenwashed, marketing firm TerraChoice investigated a number of retailers across North America, Australia and the United Kingdom and found that 98% of the products conformed with what is now known as the Seven Sins of Greenwashing. These 'sins' aided in producing a loose idea of the most common ways companies greenwash their products and are as follows:


  1. Hidden Trade-off: A claim that a product is "green" based on an unreasonably narrow set of attributes without attention to other important environmental issues.

  2. No Proof: A claim that cannot be substantiated by easily accessible information or by a reliable third-party certification.

  3. Vagueness: A claim that is so poorly defined or broad that its real meaning is likely to be misunderstood by the consumer.

  4. Worshiping False Labels: A claim that, through words or images, gives the impression of a third-party endorsement where none exists.

  5. Irrelevance: A claim that may be truthful but which is unimportant or unhelpful to consumers seeking environmentally-preferable products.

  6. Lesser of Two Evils: A claim that may be true within the product category, but that risks distracting consumers from the greater environmental impact of the category as a whole.

  7. Fibbing: A claim that is simply false. This is the rarest sin.


Nevertheless, greenwashing is still not a tactic that guarantees consumer demand; research indicates that their willingness to purchase sustainable goods decreases when they perceive that green attributes compromise product quality. Additionally, with the threat of the climate crisis looming nearby, it is no longer enough for organizations to incorporate declarations of sustainability into their communication to convince consumers to invest in their goods. Instead, for companies to fully commit to the vision of sustainable development, they must enable a comprehensive amendment of their existing corporate culture and ensure that their stakeholders understand and appropriate the concept of living sustainably.


 

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