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Greenwashing is a deceptive marketing practice that suggests that a product or firm is environmentally friendly when it is not.In some cases, companies that have extremely poor environmental records make the most aggressive greenwashing claims. For example, they may adopt green slogans and visual symbols meant to distract from their actions as a firm.
Greenwashing also has many grey areas such as firms that publicize minor steps to be more environmentally friendly. Firms that make major strides to reduce pollution may also be accused of greenwashing if their overall impact on the environment is highly negative.Many jurisdictions have begun to regulate green claims in marketing in various ways. There are ways to discourage greenwashing such as disallowing vague claims of environmental friendliness and only allowing claims that are specifically backed up by data. However, firms may get around this by pointing to statistically insignificant examples of something they did that was green.
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Type | | Definition | A deceptive marketing practice that suggests that a product or firm is environmentally friendly when it is not. | Examples | Use of the color green on products.Vague green slogans and visual symbols.Green brand names for products that damage the environment.Highlighting actions or donations that are insignificant compared to the overall damage generated by a firm's activities. | Notes | Greenwashing has many grey areas such as firms that publicize meaningful actions in an industry that is a heavy polluter.It can be difficult to regulate greenwashing because governments lack standard means of evaluating the environmental impact of a firm or product. Ideally, each firm would have an environmental rating that is required to be published with any green claims. | Related Concepts | |
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