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GREENWASHING - Coggle Diagram
GREENWASHING
Consumer perception
Distrust
Negative reviews
Consumers might stop buying the product
Skepticism
Industries prone to greenwashing
Fashion & Apparel
Food & Beverage
Cosmetics & Personal Care
Motivations for greenwashing
Financial Benefits:
research shows people are ready to pay more for the eco clean products
Regulatory Compliance
: companies want to avoid fines and legal repercussions, so they give appearance of environmental efforts, without fully committing to them
Meeting shareholder expectations
: investors might pressure companies for more ecological manufacture
Methods of greenwashing
Buzzwords, vague words:
All natural, green, eco-friendly, raw, organic (without certification), plant-based, pure, etc
Misleading imagery:
to create the illusion of caring for environment, companies might use nature-inspired imagery such as trees, leaves, green colors, etc.
Irrelevant certifications
: companies might use certifications that look impressive but are unrelated to concrete environmental impact of the product
How to avoid greenwashing as consumers?
Legitimate eco-labels:
Fairtrade
FSC
OK compost from TÜV Austria
Hundertwasserzeichen
Verein für Konsumenteninformation carrying out Greenwashing check on their businesses: look out for their website
Regulatory measures
EU Green Claim Directive
: Vote on new rules to ban misleading environmental claims will be held in January 2024
Austria
: greenwashing is indirectly addressed through law on unfair commercial practices.