Green Marketing -Challenges and Opportunities

Submitted to: CKD institute of Management and Technology

Green Marketing -Challenges and Opportunities

Abstract -Green marketing is a phenomenon which has developed particular important

in the modern market. In the emerging world the concept of pollution free activity is
given more importance in all the sectors and in all stages. The environmentalists are
targeting the industrial sectors as the major contributors for depleting natural resources
and environmental destruction. Hence, both production and marketing divisions of
industries are stressed more to take utmost care in these areas along with fulfilling the
market demands. To overcome these difficulties a new concept has born in the present
globalized world where production, consumption and also marketing of the products can
be carried effectively ensuring environmental safety. This concept is named as ‘Green
Marketing’. But the question still remains “how safe can it be in the Indian scenario?”
since India is one of the fastest developing nations and utilization of resources has to be
carried continuously in order to maintain trade balance, both internal and external.
Hence this paper highlights the concepts related to Green Marketing, why Green is
important, why companies launch Green Products, who are concerned about the
environment can be convinced and support their purchasing decisions. The paper
explores the challenges and opportunities businesses have with green marketing. The
paper also describe the reason why companies are adopting it and concludes that green
marketing is something that will continuously grow in both practice and demand
Introduction

Green issues have become increasingly important to corporate decision makers as firm’s
faces some sensitivity issues. Although environment issues influence all human activities
a few disciplines have integrated green issues into their literature. Human being are
becoming more concerned about environment issues , even the corporate start modifying
their business strategies. According to the American Marketing Association, Green
Marketing is the marketing of the products that are presumed to be environmentally safe.
Green Marketing incorporates a broad range of activities including product modification
. The term Green Marketing or environment have received a great deal of discussion .
Environment concerns have gained momentum in business as well as in public life .
Regarding the understanding of the Green Marketing concept a survey was made in May
2007 by Vizu , shows that 74% of the Americans thought that Global Warming is
important (Grant,2007,p.41)

According to Yakup and Sevil (2011) from the beginning of the 1980’s there have been
ecological issues such as Global warming, Greenhouse effect, Pollution and climate
changes which are directly related to industrial manufacturing. The concept of green
marketing in the business practices that considers consumers concerns with regards to
preservation and conservation of natural resources (Coddington 1993). Green market is
identified as a part of market segments based on the greenness of the consumer (Charter
Etel 2002). So, Green Marketing is dealing with fair trade of socio-economic benefits as
well as environmental responsibilities through green business. Due to increase of
environmentalism which has dominated the world, there has been a raise in consumer
concern with regard to environment protection and increase in the demand of Green
Products.
Green Marketing refers to holistic marketing concepts. Green marketing incorporates a
broad range of activities including, product modification, change, to the production
process, packaging changes, as well as modification of advertising. There are some
organizations implementing strategies which aim to solve ecological issues and build up
the long term interest towards consumers. Some business has been quick to accept
concepts like environmental management systems and waste minimization have
integrated environmental issues into all organizational activities. Many governments
around the globe have become so concerned about green marketing activities and they

have attempted to regulate them.

Literature Review
Alsmadi (2007) investigating the environment behaviour of Jordian consumers revels

environment consciousness .But positive tendency in “ Green Products” does not show

have positive impact o buying decisions .

Sweta Gupta, Deepak Singh, C.S Thakur ( March 2003) , Corporate must be aware of the

fact the consumer will show interest in green products if companies show same interest

through their actions towards environment . To promote a green product without making

consumers aware about the green products is a challenge to the marketers.

Yazanifard, Mercy (2011), For companies to survive in the market, they need to go green

in all aspects of their business. Consumers want to identify themselves with companies

that are green competent and are willing to pay a premium for a greener life. Green

marketing is not just an environmental protection tool but also a marketing strategy.

Polonsky, Michael (1994), Green marketing cover more than firms marketing claims,

Firms must bear more of the responsibility of environment. Responsibility of the

environment is not only the responsibility of the firms only ,consumers and industrial

buyers have the ability to integrate the environment into their corporate culture and thus

ensure all organisations minimize the detrimental environment impact of their activities

Arminda,M .Finistera (2011)This study highlighted the impact of environmental concern

among customers in Mortiutious .Some degree of reluctance from the customers to

engage in the green purchasing patterns despite greater consideration has been given to

the environment concern .It is highly recommended that effective green marketing

strategies further developed and implemented in both public and private sector .

Nitin Mittal (2014) according to this study ultimately it is consumers who are responsible

for environmental problems. Corporate should create the marketing awareness among

the consumers ,what are the benefits of green as compare to non green ones .

Oyewole,P.(2001) .In his paper presents a conceptual link among green marketing

,environmental justice and industrial ecology . It argues for greater awareness of

environmental justice in the practice for green marketing. A research agenda is finally
suggested to determine customers awareness of environmental justice and their

willingness to bear the cost associated with it

What is Green Marketing?

Different authors defined green marketing in different ways.

“Green marketing refers to the process of selling product and/or services based on their
environment benefits. Such a product or service may be environmentally friendly in itself
or produced and /or packaged in an environmentally friendly way.”
Pride and Ferrell (1993) “Green Marketing, also alternatively known as environmental
marketing and sustainable marketing, refers to organisations efforts at designing,
promoting pricing and distributing products that will not harm the environment.”
“The holistic management process responsible for identifying anticipating and satisfying
the requirements of customers and society, in a profitable and sustainable way
(Peattie1995)
“The marketing or promotion of a product based on its environmental performance or an
improvement thereof” (Charter and Polonsky1999)
Green Marketing also refers to an organisation that puts its efforts in to Promoting,
pricing and distributing products with eco concern (Sarkar 2012