Greenwashing the New Political Strategy? A Critical Review of Corporate Environmental Deception and Political Legitimacy
Over the past two decades, environmental sustainability has moved from the fringes of business strategy to its center. As governments and international organizations intensify regulatory pressure around climate change, corporations have responded by highlighting their environmental commitments. However, many of these claims lack substance, a phenomenon widely referred to as “greenwashing.” While greenwashing has traditionally been viewed as a form of deceptive advertising, this paper argues that it is increasingly employed as a political strategy aimed at securing market position, shaping regulation, and managing public legitimacy.
Conceptualizing Greenwashing as a Political Act
Greenwashing refers to the practice of companies misleading stakeholders by exaggerating or fabricating their environmental performance. Laufer (2003) defines it as “the dissemination of disinformation by an organization so as to present an environmentally responsible public image” (cited in Delmas & Burbano, 2011). While its marketing implications are well-documented, its political dimensions are less frequently analyzed. When used to influence regulatory bodies, deflect criticism, or appease activist investors, greenwashing becomes a form of political speech. It enables corporations to participate in sustainability discourse without incurring the costs of genuine reform.
Recent empirical evidence suggests that greenwashing is not only widespread but also effective in influencing corporate purchasing behavior. A study published in Nature Scientific Reports surveyed European procurement managers and found that they were more likely to prefer products with unverified green branding over those with certified environmental credentials (Financial Times, 2023). The research reveals a troubling susceptibility among professionals to symbolic environmentalism, wherein aesthetic green cues are prioritized over verified performance. This susceptibility enables corporations to exploit sustainability discourse for political and commercial advantage.
Ethics?
The ethical implications of greenwashing have been critically examined in academic literature. In their influential article, Laufer and Lyon (2010) argue that deceptive green claims distort stakeholder decision-making and erode trust in environmental labels. Their study, published in the Journal of Business Ethics, classifies greenwashing as an ethical failure, comparing it to corporate fraud. The authors contend that firms engaging in greenwashing not only mislead consumers but also dilute the broader impact of legitimate sustainability efforts (Lyon & Maxwell, 2011).
This deception has policy implications. When regulators and consumers base decisions on false signals, it undermines environmental governance and risks promoting ineffective or regressive legislation. In this way, greenwashing functions as a form of regulatory capture, manipulating the information environment to deter meaningful oversight.
Social Media as a Greenwashing Megaphone
The digital age has amplified the reach and sophistication of greenwashing tactics. A 2021 Time magazine investigation revealed how some of the world’s largest polluters use social media platforms, particularly Facebook, to spread misleading environmental claims. These companies use highly targeted advertising to promote selective metrics of environmental performance while obscuring broader ecological harm (Time, 2021). The use of emotionally resonant language, imagery of nature, and appeals to consumer responsibility enhances the persuasive power of such campaigns.
This strategy poses a significant challenge for regulators, who must contend not only with the content of environmental claims but also with the platforms through which they are delivered. The integration of greenwashing with digital political communication raises concerns about its ability to influence public opinion and policy at scale.
Greenwashing’s effectiveness lies not only in consumer deception but also in its capacity to delay regulation and shield companies from political scrutiny. By presenting themselves as environmentally progressive, corporations can shape public narratives, preempt activist criticism, and even influence the policy agenda. This political utility is particularly valuable in sectors facing heavy regulation, such as energy, agriculture, and consumer goods.
As companies race to position themselves as climate leaders, greenwashing allows them to compete symbolically without incurring the operational costs of true decarbonization. In doing so, they align themselves with international climate goals in discourse, if not in practice, a strategy that offers reputational and financial rewards while preserving business as usual.
Policy Implications
Greenwashing is no longer a peripheral marketing issue; it is an integral part of contemporary corporate political strategy. As shown by recent studies and media investigations, greenwashing manipulates both market preferences and public discourse, weakening the credibility of legitimate environmental initiatives. This trend calls for a more aggressive regulatory response, including third-party auditing of green claims, stricter disclosure laws, and digital platform accountability.
Academics and policymakers must also reframe greenwashing as a political issue, one that undermines democratic decision-making and environmental justice. Without systemic change, the risk remains that greenwashing will continue to erode trust in the very sustainability commitments it claims to support.
References
Delmas, M. A., & Burbano, V. C. (2011). The Drivers of Greenwashing. California Management Review, 54(1), 64–87.
Lyon, T. P., & Maxwell, J. W. (2011). Greenwash: Corporate Environmental Disclosure under Threat of Audit. Journal of Economics & Management Strategy, 20(1), 3–41.
Lyon, T. P., & Montgomery, A. W. (2010). Greenwashing: Deceptive Business Claims of Environmental Benefits. Journal of Business Ethics, 99(3), 477–494. DOI: 10.1007/s10551-010-0634-7
Financial Times (2023). Corporate Buyers Are Susceptible to Greenwashing, Study Finds. Retrieved from https://www.ft.com
Time (2021). Greenwashing on Facebook: How Big Polluters Mislead Consumers on Social Media. Retrieved from https://www.time.com
