Investopedia

Greenwashing

Dictionary Says

Definition of 'Greenwashing'

When a company, government or other group promotes green-based environmental initiatives or images but actually operates in a way that is damaging to the environment or in an opposite manner to the goal of the announced initiatives. This can also include misleading customers about the environmental benefits of a product through misleading advertising and unsubstantiated claims.
Investopedia Says

Investopedia explains 'Greenwashing'

The general idea behind greenwashing is to create a benefit by appearing to be a green company, whether that benefit comes in the form of a higher stock price, more customers or favored partnerships with green organizations. Even many energy companies - some of the world's biggest carbon emitters - have attempted rebrand themselves as environmentally friendly.

The tools used in greenwashing can include press releases about green projects or task forces put into place, energy reduction or pollution reduction efforts, and rebranding of consumer products and advertising materials. In actuality, the company or group may be operating in damaging ways or may simply be unwilling to make a meaningful commitment to green initiatives.

Articles Of Interest

  1. Evaluating Green Equity Investments

    Learn how to find stocks that are both eco-friendly and profitable.
  2. Go Green, Save Money

    Follow a few of these simple tips to become more "green" - and keep more of it in your wallet.
  3. Can Business Evolve In A Green World?

    Learn how global warming is starting to heat up America's corporate climate.
  4. For Companies, Green Is The New Black

    Sustainability and reducing environmental impact are hot corporate objectives. Find out why.
  5. Less Trash For More Cash

    Find out how to cut back on what you throw away to increase your disposable income.
  6. The Green Marketing Machine

    Don't let corporations greenwash their dirty laundry. Learn how to spot a phony.
  7. Earnings Guidance: Can It Accurately Predict The Future?

    Explore the controversies surrounding companies commenting on their forward-looking expectations.
  8. Mergers And Acquisitions: Understanding Takeovers

    In the dramatic world of M&As, battleground terms meld with bizarre metaphors to form the language of the game.
  9. Top 5 Ways Restaurants Make You Spend More

    The next time you eat out, watch for these common restaurant tricks that undermine your dining budget.
  10. A Slimmed Down Vestas Hopes For More Than Just Survival

    Vestas is clearly struggling, but may just manage to do more than survive.
comments powered by Disqus
Marketplace
Hot Definitions
  1. Validation Period

    The amount of time necessary for the premium on an insurance policy to cover the commissions, the cost of investigation, medical exams and other expenses associated with the issuance of the policy.
  2. Winner's Curse

    Because of incomplete information, emotions or any other number of factors regarding the item being auctioned, bidders can have a difficult time determining the item's intrinsic value. As a result, the largest overestimation of an item's value ends up winning the auction.
  3. Glocalization

    A combination of the words "globalization" and "localization" used to describe a product or service that is developed and distributed globally, but is also fashioned to accommodate the user or consumer in a local market.
  4. Disaster Loss

    A special type of tax-deductible loss, similar to a casualty loss, where a loss has been incurred by taxpayers who reside in an area that has been designated as a federal disaster area by the President.
  5. Fool In The Shower

    The notion that changes or policies designed to alter the course of the economy should be done slowly, rather than all at once.
  6. Pattern Day Trader

    An SEC designation for traders who trade the same security four or more times per day (buys and sells) over a five-day period, and for whom same-day trades make up at least 6% of their activity for that period.
Trading Center