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Greenwashing: The Corporate Con of Consumer Brainwashing

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22 Mar 2024

6 Min Read

Ishaanaah Ravi (Alumni Writer), Nellie Chan (Editor)

IN THIS ARTICLE

Scrape the superficial facade of sustainability — greenwashing — which disguises profit-driven motives and distorts genuine environmental commitment.

In the ongoing global battle against environmental challenges, the growing momentum to preserve our planet is commendable. Over the decades, we have witnessed a surge in sustainable initiatives, with events like Earth Hour attracting attention and efforts to curb plastic usage rising in prominence. However, amid these advancements, there lurks a shadowy phenomenon that threatens to undermine our progress: greenwashing. Despite the eco-friendly signage adorning supermarket aisles and the promises of corporate environmental responsibility, greenwashing is the deceptive veneer of green, masking profit-driven motives behind a facade of environmental stewardship.

What Is Greenwashing?

Greenwashing originated in 1983 from a disconcerting observation by Jay Westerveld at a Fiji hotel. While urging guests to reuse towels for the protection of Fiji's environment and ecosystem, the hotel simultaneously underwent an expansion, including the construction of bungalows — a glaring contradiction. Today, with the emergence of the green economy and green politics, the concept has evolved into a pervasive phenomenon that subverts the sustainability narrative.

 

Defined by Oxford Learner's Dictionaries as 'activities by a company or organisation intended to convey environmental concern, even if their real business practices harm the environment,' greenwashing saturates our daily lives through misleading advertising campaigns and misinformative product labels. Indeed, it is disheartening to see many corporations fail to deliver on their promises, rendering the ideals they have plastered on their products as mere words on paper or branding on packaging. This disillusioning reality highlights the stark contrast between corporate promises and practices: profit is prioritised over sustainability.

What Drives Greenwashing?

The prevalent phenomenon of greenwashing in the market is fundamentally fueled by profit-driven motives, with companies leveraging various avenues to achieve their financial objectives. With the sustainability narrative dominating discussions in recent years, consumers worldwide have shown a growing willingness to pay a premium for sustainable products. According to a 2022 article by Forbes, nearly 90% of Gen X consumers stated they would be willing to spend an extra 10% or more for such offerings.

Person paying using a smartphone

Consequently, seizing the opportunity for increased profits, companies are inclined to capitalise on this consumer behaviour. One prominent avenue for this exploitation lies in green-themed product promotions. It involves various marketing tactics, from traditional marketing and social media advertising to in-store promotions. These tactics aim to appeal to consumers who are eager to align with eco-conscious values, thereby inadvertently supporting corporations engaged in such practices and perpetuating the cycle of greenwashing.


Another avenue through which greenwashing can proliferate is through strategic alliances. Companies strategically align themselves with environmentally friendly corporations or environmental organisations to boost their green credentials and bolster their stakeholder perceptions. This includes marketing tactics such as co-branded marketing campaigns, cross-promotion, and joint events or sponsorships. Through such alliances, companies can reinforce their environmental messaging, projecting an image of commitment to sustainability, effectively enhancing their brand reputation and enticing eco-conscious consumers.

 

Indeed, there are those who argue that greenwashing does not cause harm or may even possess some merits. These arguments often revolve around the notion that even if a company's environmental claims are exaggerated or misleading, they could still raise awareness about environmental issues and encourage consumers to consider sustainability in their purchasing decisions. Some proponents also suggest that greenwashing might incentivise companies to take incremental steps toward sustainability, even if they are not fully committed.

 

However, it is important to note that these arguments are often overshadowed by the significant negative impacts of greenwashing. While it may momentarily raise awareness, greenwashing ultimately undermines trust between consumers and companies, dilutes genuine sustainability efforts, and fosters a culture of complacency where superficial gestures are preferred over substantive action. Therefore, while some arguments may highlight potential benefits, the prevailing consensus is that greenwashing is harmful and deceptive, hindering progress towards true sustainability.

Case Studies of Greenwashing

H&M store sign against a glass building

In April 2019, H&M launched its Conscious Collection, claiming sustainability through materials like organic cotton and recycled polyester. However, the Norwegian Consumer Authority found the retailer's sustainability claims lacking. The authority deemed the information provided on H&M's website insufficient, especially given the collection's promotion as environmentally beneficial. It criticised the general claims made without specifying the environmental impact of each garment, particularly regarding the percentage of recycled material used. This scrutiny highlights the importance of transparent sustainability communication in the fashion industry, urging companies to provide accurate information to consumers seeking eco-friendly options.

Delta airplane speeding down the runway

Delta Air Lines announced in February 2020 its ambitious plan to achieve carbon neutrality, pledging US$1 billion to offset all greenhouse gas emissions from its operations globally over the next decade. This initiative included various strategies, such as investing in carbon credits from conservation projects and implementing measures to reduce jet fuel consumption and enhance aircraft efficiency. However, legal action filed in California challenges Delta's assertion of being the 'world's first carbon-neutral airline', alleging that the claim is unsubstantiated and misleading. The lawsuit contends that Delta's reliance on questionable carbon offsets fails to effectively address the climate crisis. Moreover, it accuses Delta of capitalising on the market's preference for environmentally friendly products through deceptive marketing practices. The lawsuit calls for transparency and accountability, urging Delta to clarify its environmental impact and refrain from misleading claims of carbon neutrality.

A Starbucks Frappuccino

Starbucks made headlines in July 2018 by announcing its commitment to eliminate single-use plastic straws from its stores by 2020, aligning itself with the global movement against plastic waste. This move, which includes the introduction of strawless lids and alternative-material straws, was hailed as a significant step towards reducing environmental harm. However, some critics have questioned the sustainability of Starbucks' initiative, arguing that while the company estimates this action will eliminate over 1 billion plastic straws annually, the new lids made of polypropylene may actually exacerbate plastic usage. This concern is compounded by challenges in recycling infrastructure and recent restrictions on exporting plastic waste. As Starbucks emphasises the recyclability of its new lids, questions persist about whether this initiative represents a genuine commitment to sustainability or merely a response to public pressure in an increasingly eco-conscious market.

How to Combat Greenwashing?

With sustainability at the forefront of contemporary consumer trends, discerning between genuine green marketing and deceptive greenwashing is paramount. From a consumer perspective, remaining vigilant by critically assessing environmental claims and conducting thorough research is essential to avoid falling victim to greenwashing practices. Consumer advocacy also plays a pivotal role in holding companies accountable for their environmental claims and driving them towards authentic sustainability efforts.

 

From a corporate perspective, combating greenwashing necessitates prioritising transparency in reporting practices, obtaining third-party certifications, and integrating sustainability into core business strategies. By fostering a culture of accountability within the corporate landscape, companies can demonstrate their genuine commitment to environmental stewardship, build trust with consumers, and distinguish themselves from competitors engaged in greenwashing practices.

Conclusion

While our concerns for the planet and sustainability are undoubtedly justified, it is essential to recognise that not all efforts we encounter align with genuine environmental stewardship. Yet, there is hope in acknowledging the shared responsibility between companies and consumers. Companies must uphold accountability in their actions, while consumers bear the responsibility of holding them accountable. By aligning our efforts as conscientious stewards of the environment, we can collectively unveil the true colours of what is purportedly 'green' and pave the way for substantial strides towards a sustainable future.

Ready to navigate the corporate world while steering towards sustainability? Explore our undergraduate and postgraduate programmes at Taylor's Business School. We'll empower you to chart a course as a leader in sustainable business practices!

Ishaanaah Ravi is a Bachelor of Education (Honours) alumna of Taylor's University who enjoys reading and creative writing in her free time. She also finds fulfilment in conducting volunteer work, believing that life is not just about what we receive, but also about what we give.

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