Green Marketing in Indian Perspective

7/30/2019 Green Marketing in Indian Perspective

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INTRODUCTION

The basic definition of green marketing has been misunderstood by majority. Green marketing is notrestricted to the promotion or advertising of products with environmental characteristics. Greenmarketing incorporates modification in the product, production process, packaging and advertising.

However more encompassing definition green marketing is:

Environment Protection along with achieving organizational goals and objectives is the top priority ofall the firms. This ensures a sustainable and all round development. The main objective will be toanalyze and draw conclusions about the alignment of biotechnology and herbal products with that of thecompanys activities. Ultimately green marketing looks at how marketing activities utilize these limitedresources, while satisfying consumer wants, both of individuals and industry, as well as achieving theselling organizations objectives.

BICCO AGRO PRODUCTS PVT. LTD. is a pioneer in India in the development and production ofunique biological inputs for enhancing sustainable productivity of agricultural, plantation, horticulturalcrops, and for human welfare. BICCO emphasizes the utilization of plant derived natural products ascore materials in the development of plant nutrients, plant growth hormones, herbal inputs and beverage

product like tea of their importance in human health.

The company's core principle is optimal utilization of natural resources in the production of eco-friendlyproducts that would help in improving plant and human health. This environment consciousness is thekey to the success of the BICCO Group backed by its strong Research and Development Unit. In brief,BICCO is poised for a period of rapid growth with major investments in research with a commitment toenvironment, ecology and human health. BICCO's R & D Unit has been formally approved by theDepartment of Scientific & Industrial Research (DSIR) of the Government of India in recognition of its

contributions to the development of natural products of agricultural and human importance.

According to the American Marketing Association, green marketing is the marketing of products thatare presumed to be environmentally safe. Thus green marketing incorporates a broad range of activities,including

Product modification, Changes to the production process,

Packaging changes, as well as

Modifying advertising.

Green or Environmental Marketing consists of all activities designed to generate and facilitate any

exchanges intended to satisfy human needs, such that satisfaction of these needs and wants occur,

with minimal detrimental impact on the natural environment.[1]


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Yet defining green marketing is not a simple task where several meanings intersect andContradict each other; an example of this will be the existence of varying social, environmental andretail definitions attached to this term. Other similar terms used are EnvironmentalMarketing and Ecological Marketing. The legal implications of marketing claims call forCaution. Misleading or overstated claims can lead to regulatory or civil challenges.

In the USA, The Federal Trade Commission provides some guidance on environmental marketingclaims. Green or Environmental Marketing consists of all activities designed to generate and facilitateany exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs andwants occurs, with minimal detrimental impact on the natural environment.

Conventional marketing involves selling products that satisfy consumer needs at affordable prices.Green marketing must also satisfy customer needs at affordable prices, but green marketing has the

additional challenge of defining what is green and developing and selling products that consumers willlike. Green products balance environmental compatibility with performance, affordability, andconvenience. They are typically durable, non-toxic, recyclable, and are often made from recycledmaterials. Green products have minimal packaging, and should carry low environmental impact. Green

product is a descriptive idiom to distinguish a product that has been designed to have minimal impact onthe environment.

Green marketing not only focuses on advertisements and promotion of products with environmentalcharacteristics, but it pervades all the activities of designing, production, packaging and promotinggreener products. Green marketing thrives on the underlying philosophy Reduce, Reuse and Recycle.


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HISTORY

The term green marketing came into prominence in the late 1980s and early 1990s.The American Marketing Association (AMA) held the first workshop on "Ecological Marketing" in1975. The proceedings of this workshop resulted in one of the first books on green marketing Entitled"Ecological Marketing" Thus green marketing incorporates a broad range of activities, including productmodification, changes to the production process, packaging changes, as well as Modifying advertising.

My definition which encompasses all major components of other definitions is: "Green orEnvironmental Marketing consists of all activities designed to generate and facilitate anyExchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and Wantsoccur, with minimal detrimental impact on the natural environment." This definition Incorporates muchof the traditional components of the marketing definition that is "All activities Designed to generate and

facilitate any exchanges intended to satisfy human needs or wants".

So, in simple terms Green marketing refers to the process of selling products and/or services based ontheir environmental benefits. Such a product or service may be environmentally friendly initself or produced and/or packaged in an environmentally friendly way.

The obvious assumption of green marketing is that potential consumers will view a product or service's"greenness" as a benefit and base their buying decision accordingly. The not-so-obvious Assumption ofgreen marketing is that consumers will be willing to pay more for green products than they would for a

less-green comparable alternative product - an assumption that has not Been proven conclusively,specially the mild effect which it had had on consumers has washed away by the present recession(2008-09) only.

Green marketers though argue that it is a way to use the environmental benefits of a product or serviceto promote sales. Many consumers will choose products that do not damage theenvironment over less environmentally friendly products, even if they cost more.

With green marketing, advertisers focus on environmental benefits to sell products such as

biodegradable Diapers, energy-efficient light bulbs, and environmentally safe detergents.

People buy billions of dollars worth of goods and services every yearmany of which harm theenvironment in the way they are harvested, made, or used. Environmentalists support green marketingto encourage people to use environmentally preferable alternatives, and to offer incentives tomanufacturers that develop more environmentally beneficial products.

The Indian Life Assurance for over 50 years, life insurance in India was defined and driven by only onecompany- the Life Insurance Corporation of India (LIC). Also, the Oriental Life Insurance Company inCalcutta is one of the important milestones in the life insurance in India. With the Insurance Regulatoryand Development Authority (IRDA) Bill 1999 paving the way for entry of private companies into bothlife and general sectors there was bound to be new-found excitement- and new success stories.


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THE BIRTH OF GREEN MARKETING

The concept of green marketing has been around at least since the first Earth Day in 1970. But the ideadid not catch on until the 1980s, when rising public interest in the environment led to a demand for moregreen products and services. Manufacturers responded to public interest by labeling hundreds of new

products "environmentally friendly"making claims that products were biodegradable, compostable,energy efficient, or the like.

The term Green Marketing came into prominence in the late 1980s and early 1990s. The AmericanMarketing Association (AMA) held the first workshop on "Ecological Marketing" in 1975. The

proceedings of this workshop resulted in one of the first books on green marketing entitled "EcologicalMarketing".

The first wave of Green Marketing occurred in the 1980s. Corporate Social Responsibility (CSR) reportsstarted with the ice cream seller Ben & Jerry's where the financial report was supplemented by a greaterview on the company's environmental impact.

In 1987 a document prepared by the World Commission on Environment and Development definedsustainable development as meeting "the needs of the present without compromising the ability of futuregenerations to meet their own need", this became known as the Brundtland Report and was another steptowards widespread thinking on sustainability in everyday activity.

Two tangible milestones for wave of green marketing came in the form of published books, both ofwhich were called Green Marketing. They were by Ken Peattie (1992) in the United Kingdom and byJacquelyn Ottman (1993) in the United States of America.

In the years after 2000 a second wave of Green marketing emerged. By now CSR and the Triple BottomLine (TBL) were widespread. Such publications as a 2005 United Nations Report, then in 2006 a book

by Al Gore and the UK Stern Report brought scientific-environmental arguments to a wide public in aneasy to understand way


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IMPORTANCE OF GREEN MARKETING

Man has limited resources on the earth, with which she/he must attempt to provide for the worlds'

unlimited wants. There is extensive debate as to whether the earth is a resource at man's disposal. Inmarket societies where there is "freedom of choice", it has generally been accepted that individuals andorganizations have the right to attempt to have their wants satisfied. As firms face limited naturalresources, they must develop new or alternative ways of satisfying these unlimited wants. Ultimatelygreen marketing looks at how marketing activities utilize these limited resources, while satisfyingconsumers wants, both of individuals and industry, as well as achieving the selling organizationobjective.

When looking through the literature there are several suggested reasons for firms increased use of GreenMarketing. Five possible reasons cited are:

Organizations perceive environmental marketing to be an opportunity that can be used to achieve

its objectives

Organizations believe they have a moral obligation to be more socially responsible

Governmental bodies are forcing firms to become more responsible

Competitors' environmental activities pressure firms to change their environmental marketing

Activities

Cost factors associated with waste disposal, or reductions in material usage forces firms to

modify their behavior

Opportunities and organization's objectives

Goals of Green Marketing:

Eliminate the concept of waste.

Reinvent the concept of product.

Make prices reflect actual and environmental costs.

Make environmentalism profitable. Bringing out product modifications.

Changing in production processes.

Packaging changes.

Modifying advertising.


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Need of Green Marketing: An Anthropological View:

Issues like Global warming and depletion of ozone umbrella are the main for thehealthy survival. Every person rich or poor would be interested in vigor and so would the corporateclass. Financial gain and economic profit is the main aim of any corporate business. But harm toenvironment cost by sustain business across the globe is realized now though off late. This sense is

building corporate citizenship in the business class. So green marketing by the business class is still inthe selfish anthological perspective of long term sustainable business and to please the consumer andobtain the sanction license by the governing body. Industries in Asian countries are catching the need ofgreen marketing from the developed countries but still there is a wide gap between their understandingand implementation Quality life with full of health.

Challenges in Green Marketing

NEED FOR STANDARDIZATION

It is found that only 5% of the marketing messages from Green campaigns are entirely true and thereis a lack of standardization to authenticate these claims. There is no standardization toauthenticate these claims. There is no standardization currently in place to certify a product as organic.

Unless some regulatory bodies are involved in providing the certifications there will not be anyverifiable means. A standard quality control board needs to be in place for such labeling and licensing.

NEW CONCEPT

Indian literate and urban consumer is getting more aware about the merits of Green products. But it isstill a new concept for the masses. The consumer needs to be educated and made aware of theenvironmental threats. The new green movements need to reach the masses and that will take a lot oftime and effort.By Indias ayurvedic heritage, Indian consumers do appreciate the importance of using natural andherbal beauty products. Indian consumer is exposed to healthy living lifestyles such as yogaand natural food consumption. In those aspects the consumer is already aware and will be inclined toaccept the green products.

PATIENCE AND PERSEVERANCE

The investors and corporate need to view the environment as a major long-terminvestment opportunity, the marketers need t new green movement. It will require a lot of patience andno immediate results. Since it is a new concept and idea, it will have its own acceptance period o look at

the long-term benefits from this.


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AVOIDING GREEN MYOPIA

The first rule of green marketing is focusing on customer benefits i.e. the primary reason whyconsumers buy certain products in the first place. Do this right, and motivate consumers

to switch brands or even pay a premium for the greener alternative. It is not going to help if a product isdeveloped which is absolutely green in various aspects but does not pass the customer satisfactioncriteria. This will lead to green myopia. Also if the green products are priced very high then again it willloose its market acceptability.

Benefits of Green Marketing:

Todays consumers are becoming more and more conscious about the environment and are alsobecoming socially responsible. Therefore, more companies are responsible to consumersaspirations for environmentally less damaging or neutral products. Many companies want to have anearly mover advantage as they have to eventually move towards becoming green.

Some of the advantages of green marketing are:

It ensures sustained long term growth along with profitability.

It saves money in the long run, though initially the cost is more.

It helps the companies market their products and services keeping the environmentaspects in mind. It helps in accessing the new markets and enjoying the competitive advantage.

Most of the employees also feel proud and responsible to be working for anenvironmentally responsible company.


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Golden Rules of Green Marketing:

1. Know Your Customer: Make sure that the consumer is aware of and concerned about the issuesthat your product attempts to address, (Whirlpool learned the hard way that consumers wouldnt pay a

premium for a CFC-free refrigerator because consumers didnt know what CFCs were.).

2. Empower Consumers: Make sure that consumer feel. By themselves or in concert with all theother users of your product, that they can make a difference. This is calledempowerment and due to this main reason consumers will buy greener products.

3. Be Transparent: Consumers must believe in the legitimacy of the product and theSpecific claims made in regard.

4. Reassure the Buyer: Consumers must be made to believe that the product performs the job itssupposed to do-they wont forego product quality in the name of the environment.

5. Consider Your Pricing: If youre charging a premium for your product-and many

environmentally preferable products cost more due to economies of scale and use of higher-qualityingredients-make sure those consumers can afford the premium and feel its worth it.

6. Thus leading brands should recognize that consumer expectations have changed: It is notenough for a company to green its products; consumers expect the products that they purchase pocketfriendly and also to help reduce the environmental impact in their own lives too.


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Green Logistics

Is in the process of coming onto corporate radar screens, but companies need to see a cause and effect onprofitability before they commit much more than superficial efforts toward green logistics.Everyone knows how important this add much about green logistics into the plus columnuntil it starts to impact overall profitability.

It continues activity and hype around green supply chains. From a supply chain perspective, mostcompanies are focusing on the low-hanging fruit: optimizing their transportation operations,LEED certified buildings, minimizing/eliminating packaging, and considering carbon-footprint innetwork design (Llama soft, Ilog, Infor, Carbon View, Maersk Logistics, and IBM all have solutions in thisarea). However, a lot more work is required on the standards front, which is starting to occur. Also, in myopinion, large-scale progress in this area wont occur in the US and elsewhere without governmentintervention (e.g., regulations, tax/financial incentives, etc). is, but market analysts and investors likelywont.

GREEN WASHING:

In spite of its growing popularity, the green marketing movement faced serious setbacks in the late 1980sbecause many industries made false claims about their products and services. For instance, theenvironmental organization Corp Watch , which issues annually a list of the top ten "green washing"companies, included BP Amoco for advertising its "Plug in the Sun" program, in which the companyinstalled solar panels in two hundred gas stations, while continuing to aggressively lobby to drill for oil inthe Arctic National Wildlife Refuge. Green marketing can be a very powerful marketing strategy thoughwhen it's done right. In a similar kind of case Chads green marketing campaign bombed because he

made the mistake of packaging his environmentally friendly product in Styrofoam, emitting CFCs.

Without environmental labeling standards, consumers could not tell which products and services were trulybeneficial. Consumers ended up paying extra for misrepresented products. The media came up with theterm "green washing" to describe cases where organizations misrepresented themselves as environmentallyresponsible. So, While green marketing was growing greatly as increasing numbers of consumers werewilling to back their environmental consciousnesses with their dollars, it can be dangerous. The publictends to be skeptical of green claims to begin with and companies can seriously damage their brands andtheir sales if a green claim is discovered to be false or contradicted by a company's other productsor practices. Thus, in other words presenting a product or service as green when it's not is called

green washing.


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Problems Associated With Green Marketing:

CREDIBILITY

No matter why a firm uses green marketing there are a number of potential problems that they mustovercome. One of the main problems is that firms using green marketing must ensure that their activities arenot misleading to consumers or industry, and do not breach any of the regulations or laws dealing withenvironmental marketing. For example marketers in the US must ensure their green marketing claims canmeet the following set of criteria, in order to comply with the FTC's guidelines.Green marketing claims must:

Clearly state environmental benefits; Explain environmental characteristics; Explain how benefits are achieved;

Ensure comparative differences are justified; Ensure negative factors are taken into consideration; and Only use meaningful terms and pictures.

DONT FOLLOW CONSUMERS PERCEPTION BLINDLY

Another problem firms face is that those who modify their products due to increase consumer concern mustcontend with the fact that consumers' perceptions are sometimes not correct. Take for example theMcDonald's case where it has replaced its clamshells with plastic coated paper. There is ongoing scientific

debate, which is more environmentally friendly. Some scientific evidence suggests that when taking acradle-to- grave approach, polystyrene is less environmentally harmful. If this is the case McDonald's

bowed to consumer pressure, yet has chosen the more environmentally harmful option.

BACK UP YOUR MARKETING WITH GOOD TECHNICAL ASSISTANCE

When firms attempt to become socially responsible, they may face the risk that the environmentallyresponsible action of today will be found to be harmful in the future. Take for example the aerosol industry,which has switched from CFCs (chlorofluorocarbons) to HFCs (hydro fluorocarbons) only to be told HFCs

are also a greenhouse gas. Some firms now use DME (dimethyl ether) as an aerosol propellant, which mayalso harm the ozone layer. Given the limited scientific knowledge at any point in time, it may be impossiblefor a firm to be certain they have made the correct environmental decision. This may explain why somefirms, like Coca-Cola and Walt Disney World, are becoming socially responsible without publicizing the

point. They may be protecting themselves from potential future negative backlash; if it is determined theymade the wrong decision in the past.

LACK OF POLICIES

While governmental regulation is designed to give consumers the opportunity to make better decisions or tomotivate them to be more environmentally responsible, there is difficulty in establishing policies that willaddress all environmental issues.


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DONT FOLLOW THE COMPETITION BLINDLY

Reacting to competitive pressures can cause all "followers" to make the same mistake as the "leader." Acostly example of this was the Mobil Corporation who followed the competition and introduced"biodegradable" plastic garbage bags. While technically these bags were biodegradable, the conditions

under which they were disposed did not allow biodegradation to occur. Mobil was sued by several US statesfor using misleading advertising claims. Thus blindly following the competition can have costlyramifications.

TRY TO MINIMIZE THE WASTE, RATHER THAN FIND APPROPRIATE USES FOR IT

The push to reduce costs or increase profits may not force firms to address the important issue ofenvironmental degradation. End-of-pipe solutions may not actually reduce the waste but rather shift itaround. While this may be beneficial, it does not necessarily address the larger environmental problem,

though it may minimize its short-term affects. Ultimately most waste produced will enter the waste stream,therefore to be environmentally responsible organizations should attempt to minimize their waste, ratherthan find "appropriate" uses for it.


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7Ps Of Green Marketing:

1. Place: Natural Environments.

2. Price: Environment friendly raw materials, cleaner process and process of technology,Complying the new green law, Preparing for ecological disaster or clean ups, Insurance

Premium green taxation.

3. Promotion: Advertising Publicity word of mouth promotion, public relation broadcasting.

4. Physical evidence: Raw materials, energy efficiency, waste pollution, packaging, life span,

Reusability. Recyclability effect on consumer behavior Socio economic impact.

5. People: Environmental activities, scientist conversation, technician, education.

6. Process: Preserving educating, documenting, Appealing, canvassing, researching,Explememtingm developing.

7. Product: Health care, Pollution abatement equipment, bucket of earthworm to Improve

soil quality of garden


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INDUSTRY PROFILE

Green Marketing In Asia:

While green marketing has taken the US and Europe by storm, marketers and consumers in Asia showfew signs of jumping on the bandwagon...yet. Fad mad Japan is the main exception, where eco-friendly slogans are emblazoned on goods ranging from designer clothes and beer cans to gift-wrapping in department stores. Just how deep this commitment goes is anyone's guess.

Elsewhere in Asia, environmental problems receive scant attention as both consumers and producersconcentrate their energies on attaining the goals of economic development. Tropical rain forestscontinue to be cut down, waterways and air are befouled and concern for the environment is oftendismissed as a luxury for rich countries only.

The ways of the West have spread to Asia, changing age-old, environmentally sound traditions. Thesupermarket is replacing wet markets; the convenience of canned and bottled products is weaninghousewives away from fresh foods bought daily; plastic, glass, tin and polystyrene are wrapped around

purchases with blithe disregard for their future as garbage or litter, and plastic bags are supplanting thehousewifes basket in which all purchases once traveled home from the market. The concepts ofconvenience and disposability the very qualities which appeal to evolving consumer markets have dangerous implications for the environment and its resources.

This cannot go on forever the problems facing the future of the Earth will not get solved bythemselves. At the very least, as wealth grows in this part of the world, consumers will demand bettersurroundings in which to enjoy their rising standards of living. Then the pressure will be on marketersto provide buyers with goods produced and presented in a more ecologically friendly way. This trendis already apparent in South Korea and Taiwan where consumer pressure groups are fighting for acleaner environment.

Marketers may not feel motivated to change until more Asians demand greenness with theirpurchasing power But those who wish to capture some of the North American, European or Australianmarkets had better be prepared to make their products meet the standards now being demanded by

consumers there.


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Green Marketing In India:

It's far from a groundswell yet, but slowly corporates across India are hitching themselves to the greenbandwagon. A survey is conducted by BT(Business Today) & Tata Energy Research Institute (TERI)

to identify top ten green companies of India. In March 2000, BT and the Tata Energy ResearchInstitute (TERI) decided to conduct the first-ever study of environmental practices in corporate India.The survey had two aims. The first was to analyze key trends and dominant environmental practices asobserved in Indian companies. The second was to identify the 10 'greenest' companies in terms of thematurity of their environmental systems and practices. A total of 11 parameters were identified foranalyzing and evaluating the corporate.

Ten Greenest Companies Are:

1. ABB

2. Bayer (India)

3. Clariant (India)

4. Coromandel Fertilisers

5. Gujarat Ambuja Cements

6. ICI India

7. Indian Aluminium Co

8. Orchid chemicals and pharma.

9. Philips India

10. Tata Iron & Steel Co


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Results Of This Survey Is Given Here:

1. Of the 47 companies surveyed more than three quarters had an environmental policy in place.While only four out of 10 had a formal environment certification (ISO 14001), 60 per cent had aseparate environment department.

2. In four out of 10 cases, the environment head had a direct reporting line to the CEO.

3. Ironically, while benchmarking was the preferred means of identifying improvements, only abouta quarter the polled companies used rival companies, Indian or foreign, as measures. The majority

benchmarked themselves against their own other facilities.

4. Encouragingly, 70 percent had an environmental audit system in place, but more than halfadhered only to the mandatory audits, which were usually annual and conducted by internalauditors.

5. Chemicals and pharmaceutical companies showed a greater maturity of environmentalmanagement practices. Green policies at these companies were more prevalent at the plant level,whereas in the minerals and mining sectors both the corporate office and facilities were covered.

6. Engineering came off as one of the weakest sectors in terms of eco-efficiency. Consider: Onlytwo-thirds of engineering companies polled had environmental policies (the figure was 80 percent in the case of mining, chemicals and pharma sectors); only a third of the engineering firmshad a separate environment department, and an equal number had no internal reporting system.Worse, only half of the engineering corporates had an audit system in place.

7. The survey, however, leaves little doubt about the growing importance of environment incorporate strategy. Four-fifth of the respondents had a firm environmental training programme inplace, while nine out of 10 did some form of safety training at their installations. A tendency toreward green practices among employees was also noticed. Four of 10 companies had systems forrewarding environmental performance, and most of these rewards were either at the individuallevel or at the department level.

8. But what should gladden the heart of green activists is that more than half of the companiessurveyed had planned improvement measures. Most of them were related to manufacturing

processes and housekeeping measures, followed by upgradation and modernization of productionequipment. Better still, three out of 10 planned to adopt better pollution control systems, and a

quarter their environmental management systems. And 42 per cent of the respondents said thatthose improvements would be part of their expansion programmes. An unmistakable sign thatcorporates are waking up to the fact that it pays to be green.

Result of this survey showed that ABB is at leading edge as far as eco friendliness is concerned.


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What ABB is doing?

The Maneja plant of ABB Ltd near Vadodara had planted 2,500 trees in its 100-acre remises as part of agreen campaign. But the disposal of twigs, dry leaves, and wooden waste proved to be a nightmare. Sothey used vermiculture to solve this problem. The investment was to the tune of Rs 10,000 towards

buying the first lot of earthworms and finding them a place in the plant's premises. The dry leavesbecame the fodder for the earthworms; they proliferated rapidly and converted the deadwood intoorganic manure. Today, the plant generates 5,000 tones of organic manure per month; 80 per cent of it isused in the company's own gardening efforts, preempting the need to buy synthetic manure at Rs 5 perkilo-a straight saving. The rest is sold at a national rate of Rs 1.50 a kg-a straight profit.

There are 39 operational performance indicators that ABB regularly tracks: the reduction of waste; theidentification of environmental hazards; and the optimization of resources, among others.

Companys Green Initiatives:

ITC

* ITC has been 'Carbon Positive' three years in a row (sequestering/storing twice the amount of CO2than the Company emits).

* 'Water Positive' six years in a row (creating three times more Rainwater Harvesting potential thanITC's net consumption).

* Close to 100% solid waste recycling.

* All Environment, Health and Safety Management Systems in ITC conform to the best internationalstandards.

* ITC's businesses generate livelihoods for over 5 million people.

* ITC's globally recognised e-Choupal initiative is the world's largest rural digital infrastructurebenefiting over 4 million farming families.

* ITC's Social and Farm Forestry initiative has greened over 80,000 hectares creating an estimated 35million person days of employment among the disadvantaged.

* ITC's Watershed Development Initiative brings precious water to nearly 35,000 hectares of drylandsand moisture-stressed areas.

* ITC's Sustainable Community Development initiatives include women empowerment, supplementaryeducation, integrated animal husbandry programmes.

MARUTI: Greening The Supply Chain


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The company has remained ahead of regulatory requirements in pursuit of environment protection andenergy conservation at its manufacturing facilities, and in development of products that use fewernatural resources and are environment friendly.

The company credited the 'Just-in-Time' philosophy adopted and internalized by the employees as theprime reason that helped to excel in this direction.

The company has been promoting 3R since its inception. As a result the company has not only been ableto recycle 100% of treated waste water but also reduced fresh water consumption. The company hasimplemented rain water harvesting to recharge the aquifers. Also, recyclable packing for bought outcomponents is being actively promoted.

The company has been facilitating implementation of Environment Management System (EMS) at itssuppliers' end. Regular training programs are conducted for all the suppliers on EMS. Surveys areconducted to assess the vendors who need more guidance. The systems and the environmental

performance of suppliers are audited.

The green co-efficient of this system is much better than the conventional system.

HCL's Environment Management And Ecosafe Policy:

In building a system to identify, develop and sustain the maintenance of an environment managementsystem at corporate level we have formulated a program that we proudly refer as HCL's ecosafe.

The aim is to encapsulate knowledge, awareness, and key developments on all environmental issuesfaced by today's world and to incorporate these in HCL's operations assuring our commitment indelivering quality products, solutions and services.

The key objective under HCL ecoSafe is targeted at integrating environmental management proceduresinto its business processes thereby protecting the environment, health, and safety of all its stakeholders.HCL commits to manufacture products that are environment friendly in all respects and are free fromhazardous chemicals.

HCL ecoSafe focuses on product lifecycle management to ensure that our products right from when theyare manufactured, bought by customers, recovered at their end-of-life and recycled after useful life are

done in an environmentally responsible manner.

More Examples

* McDonald's restaurant's napkins, bags are made of recycled paper.


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* Coca-Cola pumped syrup directly from tank instead of plastic which saved 68 million pound/year.

* Badarpur Thermal Power station of NTPC in Delhi is devising ways to utilize coal-ash that has been amajor source of air and water pollution.

* Barauni refinery of IOC is taken steps for restricting air and water pollutants.

Companies Using Green Marketing:

There are two types of firms one who claims that their products are green i.e. the product itself is ecofriendly. Others are those companies which may promote itself as environmentally friendly but the

product being sold may not be - such as when a telemarketer donates a portion of its revenues to

progressive causes, even though it makes no claim or effort to assure that the product being sold isenvironmentally friendly.

Companies using the green marketing are:

1. Coca-Cola : An example of a firm that does not promote its environmental initiatives is Coca-Cola. They have invested large sums of money in various recycling activities, as well as havingmodified their packaging to minimize its environmental impact. While being concerned aboutthe environment, Coke has not used this concern as a marketing tool. Thus many consumers maynot realize that Coke is a very environmentally committed organization.

2. Walt Disney World: Another firm who is very environmentally responsible but does notpromote this fact, at least outside the organization, is Walt Disney World (WDW). WDW has anextensive waste management program and infrastructure in place, yet these facilities are nothighlighted in their general tourist promotional activities.

3. McDonalds: McDonald's also uses recycling. McDonald's replaced its clam shell packagingwith waxed paper because of increased consumer concern relating to polystyrene production andOzone depletion.

4. AMKETTE: Amkette is a major floppy disk manufacturer which uses recycled cardboard boxfor packaging. They are putting logo with Recycled Saves Environment phrase.

5. Blue star: Blue Star is the largest single source for air-conditioning equipment inIndia. It offers the widest range of air-conditioning products. Blue Star has completely phasedout use of CFC in their Centrifugal Chillers Blue Star is predominantly using HCFC's(HydroChloroFluoroCarbons), which have to be much less ODP (Ozone Depletion Potential).

6. Colourtex: Colourtex is a famous die manufacturing company they are also using recyclable

packagings and also investing a sufficient sum on environmental programs within theorganization.

7. Xerox: Xerox introduced a "high quality" recycled photocopier paper in an attempt to satisfy


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the demands of firms for less environmentally harmful products.

8. Rhone Poulenc: Rhone Poulnec is to continue its long term study comparing organic andconventional farming so as to get environmental friendly crops.

9. Henkel: Henkel is involved in the manufacturing of detergents. Henkel is publicizing theirproducts as phosphate free detergents.

10. Automobile companies: A large number of automobile companies are introducing newtechnologies in manufacturing as well as investing on in house eco friendly programmes. GM,Ford, Chrysler and US government creating an alliance to develop advanced battery technologyfor electric vehicles.

11. Canon: At Canon, a corporate philosophy of "kyosei" (living and working together for thecommon good) guides the company toward cause-related marketing that reinforces thecompany's position as a market and environmental leader. In the US it began with the CleanEarth Campaign divided between the National Wildlife Federation and the Nature Conservancy

for each Canon toner cartridge returned to the company. The five-year effort resulted in therecycling of several million toner cartridges along with a corresponding donation. The success ofthe program inspired Canon to deepen and enhance their cause-related marketing efforts.

12. Philips: Electronics industry giant Philips Electronics is one of Europe's leading proponents ofgreen marketing and green design. A pioneer in environmental design, Philips has run acorporate-wide EcoVision program since 1998, the program requires that each Business Groupdesign or redesign one "Green Flagship" product per year. A few energy-efficient productsresulting from this initiative are the Kala and DECT telephones, a 32 inch TV set, and a videocassette recorder among others. There are large number of firms investing to make their productseco friendly including giants like Maruti, Hero Honda, L&T, kirloskar, Infosys, Tata Exports,

Mathura refinery (IOC), NTPC etc. There are a great variety of eco friendly products nowavailable in the market. In 1990 which donated $1 to be 25 big companies that are going green

business.


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25 Big Companies That Are Going Green Business

1. Bank of America

Bank of America is proving that eco-friendly operations can coexist with business growth. According totheir corporate website, the company reduced paper use by 32% from 2000-2005, despite a 24% growthin their customer base! Bank of America also runs an internal recycling program that recycles 30,000tons of paper each year, good for saving roughly 200,000 trees for each year of the programs operation.As if that werent enough, the company also offers employees a $3,000 cash back reward for buyinghybrid vehicles.

2. Ceres

While not technically a business itself, Ceres has advised some of the nations biggest corporations and

investors on the environmental impact of their operations. Having billed themselves as the largestcoalition of investors, environmental and public interest organizations in North America, theorganization is primarily focused on ensuring that companies accurately disclose the environmentalaspects of their business practices to investors and shareholders. Major achievements thus far include

persuading Dell Computer to support national product take back legislation and convincing Bank ofAmerica to spend $20 billion on the growth of eco-friendly business practices.

3. General Electric


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General Electrics presence on this list might surprise you, but the steps they have taken toward greenoperations are undeniable. Since 2006, the company has sold over $12 billion of its Ecomagination

products (including solar panels). For those who are still upset at GEs polluting of the Hudson Riverwith polychlorinated biphenyls, the company is also making headway on an ambitious cleanup of thatarea. Barring further setbacks, the river should be cleaned up to a much better state in just a couple ofyears!

4. Dupont

Dupont is another company that has drawn the ire of green advocates for many, many years. However, itnow seems that they are taking strides toward more sustainable operations. In addition to drasticallylowering its emissions of airborne carcinogens and greenhouse gases, Dupont has appointed an ex-Greenpeace head as an adviser to the board. And true to its word, the company successfully reducedgreenhouse gas emissions during the 90s by 63% far ahead of the timetable set forth in thecontroversial Kyoto Protocol.

5. Innovest

Innovest has boldly set out to reengineer the DNA of Wall Street, according to executive managingdirector Matthew J. Kiernan. As William Grieder explains in his book The Soul of Capitalism,Innovest grades publicly traded companies for such thin2222s its track record in hazardous wastedisposals and past pollution. The overall goal is to give investors a quick gauge on the true eco-friendliness of the companies they are investing in. Interestingly, early data seem to indicate thatcompanies with higher EcoValue rankings outperform lower ranked companies as stocks, boastingreturns 1.5 to 2.4 percent higher.


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6. McDonalds

Time was not long ago when McDonalds wouldnt have come within striking distance of making thislist. However, the increasing public shift toward greener living has sent a clear signal to the powers that

be at the popular fast-food chain. Instead of ravaging the natural habitats of animals, McDonalds nowworks in close collaboration with PETA on systematically reforming its business practices to be morehumane and friendly to the environment in which they operate.

7. Home Depot

Home Depot is another ex-offender who has taken great pains to turn things around. Once the RainforestAction Network identified the company as the worlds largest retailer of old-growth wood products,demonstrations and protests unfolded at Home Depot stores around the nation. When the outcry reachedthe point of 45,000 customer calls and letters, the bigwigs at Home Depot decided that enough wasenough. Within months, the company rolled out a new no old-growth sales policy to ensure consumers

and activists that the days of harvesting trees from old-growth rainforests were over.


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8. Anheuser-Busch

Most people dont expect much in the way of environmental awareness from their beer company, butthat hasnt stopped Anheuser-Busch from delivering. In his landmark text Natural Capitalism, authorPaul Hawken shines light on the fact that Busch now saves 21 million pounds of metal per year bytrimming an eigth of an inch off the diameter of its beer cans. The best news for beer enthusiasts? Thetrimming doesnt reduce the volume of beer one bit, says Hawken.

9. Pratt & Whitney

Pratt & Whitney offers another inspiring story of how much raw materials can be saved and pollutionavoided with a little old-fashioned, hard-nosed ingenuity. As Natural Capitalism explains, Pratt &Whitney used to scrap 90 percent of its ingots (thats right, almost all) in the process of manufacturing

jet engine blades. This massive waste continued unabated until someone at Pratt & Whitney had thebright idea to have the supplier simply cast the ingots into ready-made blade-like shapes. This oneseemingly small change proved to be transformative, and has lowered the amount of wasted ingots andfactory emissions a great deal.


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10. Starbucks

Starbucks has green advocates smiling about its bean-to-cup approach, which stresses top efficiency ateach link of its global supply chain. By all measures the program appears to be a great success, with thecompanys decision to use coffee cup sleeves made of recycled paper saving roughly 78,000 trees peryear since 2006. Starbucks has also partnered up with many environmental organizations, fromConservation International to the Earthwatch Institute, in efforts to do right by the communities itoperates in.

11. Wal-Mart

Possibly the most hated name in the entire green movement, Wal-Mart is now positioned to make all butthe most dogmatic of its detractors eat their words. According to Sustainablog, Wal-Mart has launchedan ambitious long-term plan to eventually power each and every one its stores using 100% renewableenergy sources. According to the companys executives, Wal-Mart is committed to using its waste-eliminating corporate philosophy to make its own operations more eco-friendly than ever.


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12. Tesla Motors

Funded by ex-Google and PayPal executives, Tesla Motors is a venture aimed at proving that cars canbe environmentally friendly without sacrificing the blazing speed and power enthusiasts love. A visit totheir website reveals a tantalizing glimpse of whats ahead: a 100% electrically powered car that goesfrom 0-60 in 3.9 seconds, getting the equivalent of 256MPG from its electric charge. The overall cost ofrunning this sleek, green driving machine? A paltry 2 cents per mile

13. Coca-Cola

Coca-Cola has narrowed down 3 environmental goals on which to focus their efforts: water stewardship,sustainable packaging, and climate & energy protection. Each of these initiatives is detailed andexplained at their corporate website. In just a few years, Coca-Cola has already gotten itself involved incommunity recycling programs and a complete, sustainability-focused overhaul of its packagingdesigns.


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14. Enterprise Rent-A-Car

A CNN Money piece tells the story of Enterprise Rent-A-Cars foray into more sustainable businesspractices. Since January 2008, Enterprise has boasted the worlds largest fleet of fuel-efficient vehicles,over 440,000 of which offer drivers 28MPG or better for highway travel. Roughly 5,000 of thosevehicles are gas/electric hybrids, while another 73,000 have the option of being powered on E85 ethanol.In addition to these efforts, Enterprise has promised to plant fifty million trees across Americas forests.

15. Toyota

Toyota is famous for offering the Prius, the worlds first mass-market hybrid vehicle. The popular car isnow sold in over 40 countries The Environmental Protection Agency has recognized Toyotas efforts aswell, crowning the Prius and its 48MPG as the most fuel-efficient car available for purchase in the U.S.Similar authorities in the United Kingdom have applauded the Prius, namely the UK Department ofTransport, who ranked the vehicle as the third least carbon-emitting auto in the country.


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16. Dell

Computer equipment has historically been one of the most difficult and costly products to safely disposeof. Fortunately, one of the major leaders in that field has stepped forward to make the task less daunting.Through its no computer should go to waste recycling program, Dell allows customers to return any

Dell-branded product back to the company for free. The company has even gone so far as to establishprograms that accept computers, monitors, or printersfrom other companies for safe disposal, as well.

17. Target

While many retailers are launching plans to greenify their operations, Target is taking the fightstraight to its store shelves. In May 2008, the company announced plans to launch an eco-clothing lineat Barneys, New York. Done in collaboration with eco-fashion designer Rogan Gregory, the clothingline is said to have been created using dynamic fabrics and has been available at Target locations sincethe end of May.


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18. Brooks

Brooks has joined the race to go green by cleverly rolling out a completely biodegradable running shoe.According to a C/Net report, the $140 BioMoGo is just as durable during the time you wear them as anyother mass-market shoe. The decomposition doesnt begin until the shoes are stored in an activeenclosed landfill, at which point they will biodegrade in just 20 years instead of the 1,000 yearstraditional, ethylene vinyl ecetate soles hang around for. If Brooks predictions are accurate, theBioMoGo will save up to 30 million pounds of landfill waste over those same 20 years.

19. Honda

According to a CNN Moneys 10 Green Giants piece, Honda has gone above and beyond in itsenvironmental duties. Going so far as to call Honda the most fuel-efficient auto company in the US,CNN tells the story of how Honda is hard at work on the hydrogen fuel cell powered FCX. Honda isapparently also taking steps to create an entire infrastructure for hydrogen, looking forward to a day

when hopefully more cars will be powered by that instead of gasoline. In addition to all of this,Honda has pledged to reduce its carbon dioxide emissions by 5% between 2005-010, and thats notincluding that 5% it already achieved from 2000-2005.


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20. Continental Airlines

Continental Airlines has spent over $16 billion in the last decade to replace its entire fleet of airplaneswith more fuel-efficient ones, in addition to installing fuel-saving winglets that cut emissions 5% onits 737 model aircraft. Beyond that, nitrogen oxide emissions from Continentals busy Houston hub have

been sliced by an astounding 75% since the year 2000. Continental might also be the only company with

12 full time staff environmentalists on the payroll who are constantly pairing up with enginemanufacturers to design greener, more efficient processes into company operations. And is if thiswerent enough, the company makes a point of sorting all of its trash to see what can be recycled.

21. Tesco

This British grocery chain has enlisted its customer base in the fight to go green by offering savings toshoppers who bring reusable shopping bags to their stores. The company has also turned each of itsstores into wind-powered, high-recycling, biodiesel truck delivered epicenters of environmentalsustainability, running at such high efficiency Ralph Nader would be beside himself. In another major

breakthrough, Tesco is aiming to estimate the carbon costs of each item it sells.


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22. S.C. Johnson

S.C. Johnson, maker of indispensable household products such as Windex, has gone on a mission tolessen the environmental impact of its products. Through their use of the Greenlist Process (a systemthat ranks your impact on the environment by evaluating the raw materials you use), the company hasslashed 1.8 million pounds of volatile organic compounds from its Windex line of products. Another 4million pounds of polyvinylidene chloride has been eliminated from Saran Wrap, a major drop inharmful chemicals that seep into landfills when they are disposed of. The company has also scaled backits coal-fired plants by working to replace them with natural gas and methane powered facilities.

23. Goldman Sachs

Goldman Sachs was derided by Wall Street insiders for announcing an official environmental policy in2005, but to this point, it seems like the critics have been silenced. The ultra-profitable bank has

parlayed its new found green ethos into a bona-fide profit-center. The firms $1.5 million investment insolar, ethanol, and wind have paid off in spades, prompting companies like Kolhberg Kravis Roberts andTexas Pacific to consult Goldman on their own environmentally-focused projects. It is also said that

many of the banks employees and executives are proud, hybrid-driving motorists.


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24. Hewlett-Packard

Another computing company staking its claim to greener pastures is Hewlett Packard. The company has

gotten out in front of the computer disposal issue by owning and operating enormous e-wasterecycling plants that shred discarded, obsolete computer products into raw materials that can be recycledinto the industrial food chain. HP has also agreed to take back computer equipment of all brands, andtaken steps to ensure that its own products are 100% recyclable in the manner discussed above.Furthermore, the company has promised to lower its energy consumption a full 20% by the year 2010.

25. TJX Companies

The TJX Companies (such as TJ Maxx, Marshalls, HomeGoods, and Bobs) have kept their eye onenvironmentally sound business practices long before it was politically correct to do so. As early as1988, TJX became an early adopter of electronic ballast technology, a practice that significantly loweredthe use of electricity in the companys stores. TJX also prioritizes lighting conservation at its distributioncenters, which use T5 fluorescent bulbs that use 50% less power than non-fluorescents. Beyond lighting,TJXs distribution centers are purposely structured to recycle the corrugated carboard that comes in fromvendors. According to the companys website, virtually all our vendor corrugated cardboard is recycled

or refused at our distribution centers.


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PRESENT TRENDS IN GREEN MARKETING IN INDIA

Organizations Perceive Environmental marketing to be an Opportunity that can be used to

achieve its objectives.

Firms have realized that consumers prefer products that do not harm the naturalenvironment as also the human health. Firms marketing such green products are preferredover the others not doing so and thus develop a competitive advantage, simultaneouslymeeting their business objectives.

Organizations believe they have a moral obligation to be more socially responsible.

This is in keeping with the philosophy of CSR which has been successfully adopted by many businesshouses to improve their corporate image.

Firms in this situation can take two approaches:

Use the fact that they are environmentally responsible as a marketing tool.

Become responsible without prompting this fact.

Governmental Bodies are forcing Firms to Become More Responsible

In most cases the government forces the firm to adopt policy which protects the interests of theconsumers. It does so in following ways:

Reduce production of harmful goods or by products

Modify consumer and industrys use and /or consumption of harmful goods; or

Ensure that all types of consumers have the ability to evaluate the environmental

composition of goods

Competitors Environmental Activities Pressure Firms to change their Environmental

Marketing Activities

In order to get even with competitors claim to being environmentally friendly, firms change over togreen marketing. Result is green marketing percolates entire industry.

Cost Factors Associated With Waste Disposal or Reductions in Material Usage

Forces Firms to Modify their Behavior

With cost cuttning becoming part of the strategy of the firms it adopts green marketing in relation tothese activities. It may pursue these as follows:

A Firm develops a technology for reducing waste and sells it to other firms.A waste recycling or removal industry develops.


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The New Green Revolution

Global Warming is the phenomenon of increase in Earths temperature caused by burning of fossil fuelsand other pollutants in the air. As per the predictions by IPCC (Intergovernmental Panel on Climate

Change) it is predicted that the global temperature is likely to increase by 1.1 to 6.4 degrees Celsiusbetween 1990 to 2100.

The key causes of global warming are summarized below:

Carbon dioxide emitted from the Power Plants, Cars, airplanes and other industries.

Methane emitted from landfill, petrochemical factories and steel and fertilizer plants.

Nitrogen dioxide emitted from waste combustion, agriculture water pollution and Sewage.

Otherharmful gases emitted by industries, and manufacturing units, which are causing Depletion ofEarths ozone, layer.

Deforestation is another major contributor towards global warming. The destruction of Tropicalforests is throwing millions of tons of carbon forests are the main source of absorption of carbondioxide, which we are losing at a great speed each year with increased deforestation. For a long timenow the effect of mans industrialization and technological progress ha s quietly yet continuously ekedaway at the delicate balance of the planets atmosphere and ecosystem, but Within the last 30 or so yearsthe place of this damage has markedly accelerated.

It is presently estimated that 700 tons of carbon dioxide are pumped into the earths atmosphere Everysecond of the day. Carbon dioxide is the chief contributor to the greenhouse gases. It is Thesegreenhouse gases, which cause global warmings dioxide into the atmosphere.


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Green Warming Proposed Solution

The solution to this problem lies in Going Green in our thoughts, behavior and actions. The consumersand corporations need to focus on clean and environment friendly products and services.

To elaborate on the Green terminology:

1.Green Product is non-toxic and is made from recycled material. There is no absolute green product.However the products, which consume less energy, cause less pollution and are biodegradable, belong tothis category. Thus Green is a relative term.

2Green Service fulfills the philosophy of sustainable development, improving and maintainthe quality of life for people without compromising the environment.

3.Green washing is the process of making products and services Green in all respects.

To make products and services green the businesses need to focus on bringing the green in various aspectssuch as:

Supply Chain

Packaging

Raw Material

Product Innovations

It is not enough just to develop a brand or a logo, or invest in an advertising campaign, and then position aproduct as Green before consumers.

Like any other new concept, marketers must first educate the public about going green, ensure productcredibility, and establish trust. Moreover, since Green aspect of the product is not a tangible attribute thatthe consumers receive the consumer has to be convinced about the benefits of the green benefits of the

product.

It is also important to understand how companies across the globe are innovating and creating Greenproducts.


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GREEN RAW MATERIAL

This refers to using recycled material or using material, which does not have a negative impact on naturalresources like resulting in problems such as deforestation and pollution.

Example: Gridcore Systems International demonstrated the use of Recycled BuildingMaterial. The company was looking for an alternative building material in-order to reduce the impact onenvironment. While researching they discovered space board, a new type of building panel developed bythe Forest Products laboratory. Space board can be manufactured from various recycled oragricultural fibers, and due to a honeycomb the interior design is just as strong as and several times lighterthan conventional fiberboard.

GREEN IN MANUFACTURING

This focuses on using renewable energy for production and minimizing air and water pollution during themanufacturing process.

Example: Energy Star is helping businesses and consumers save money and check pollution. Energystar has its own pre defined parameters and gadgets which conform to the energy efficiencystandards. The businesses that join hands with energy star sign an MOU and upgrade their facility as per therequirement outlined by Energy Star. There are about 2,400 corporations, hospitals, schools and otherorganizations, which are energy star compliant in the US today.

The real estate developers, architects and environmentalists across the globe are workingtogether to create the next wave of modern eco-friendly projects: green buildings andmanufacturing facilities. They are using energy conservation appliances and recycling building productsand water harvesting techniques in their projects.

GREEN IN PRODUCT DEVELOPMENT

This refers to either environment friendly or environment efficient products as demonstrated by the

following examples.

Example: Kodaks Recyclable Camera When Kodak created its first disposable camera it also solved thewaste disposal problem by initiating a camera take back scheme during picture processing. This notonly reduced the waste disposable problem, it also saved Kodak the manufacturing costs fornew cameras. This made it completely recycled camera.

Example: Philips Earthlight Compact Fluorescent Light Bulbs With relentless efforts on research anddevelopment the company was successful in producing compact fluorescent light bulbs, which are the mostenergy efficient bulbs.


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GREEN BY USING ALTERNATIVE INGREDIENTS TO REDUCE HEALTH RISKS

Example: AFM Safecoat and Safechoice Paints to meet the markets demand for non-toxicpaints, theCalifornia based company invested in Research and Development and developed a full line of non-toxic coatings,

paints, stains and adhesives.

GREEN IN SUPPLY CHAIN

Example: McDonalds is often blamed for polluting the environment because much of their packagingfinishes up as roadside waste. It must be remembered that it is the uncaring consumer who chooses todispose of their waste in an inappropriate fashion.

With the intent to cut costs and work on eco-friendly image and practices McDonalds tried to reduce theamount of material disposed by its stores. McDonalds asked the supplier to do away with the cartons fornapkins. The supplier suggested a better way and came up with dimpling pattern on napkins, whichenabled the supplier to pack 25% more napkins in one box and reduction in shipping cost accordingly.McDonalds also allied with Environment Defense Fund (EDF) and created a waste reduction plan. It alsomade a Paper Task Force to focus on paper waste reduction and better solid waste management.

Some food chain retailers are working on Green Procurement program to help purchasingofficers to buy products and services that have a lower environmental impact than comparable products andservices.

GREEN IN PACKAGING

Packaging is a key element of marketing mix for promoting Green washing. It can also be an effectivetool to display the Green component of the product.

Natural Package for a Natural Product

When creating product materials, markets need to remember that a Green product is appealing toconsumers for its benefits to the environment and for its roots in natural resources. There should be aconsistent look for the product package, or materials that appear natural, not glossy or extravagant.

Green consumers tend to appreciate consistence in package and product. They will appreciate the usageof recycled paper and other environment friendly materials. That will helpmanufacturers/suppliers gain customer loyalty and product credibility.


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Third Party Certification Seal on Package

In order to win consumer trust and for product credibility many companies go in for a third partycertification. This helps build trust and acceptability by the consumer. A third party seal guarantees the

consumer that the product fulfills its promise and is true to his claim. One such third party in the USA is theGreen-e Program of the Center for Resource Solutions. Certification provides an independent third-partyreview of the program similar to the ISO 9000 or CMMI Six Sigma level of certifications, whichmat help build consumer confidence. Once a green product earns certification, they can publicize thisachievement and promote their certification through the use of the Green-e logo on their marketingmaterials and website.

GREEN IN SERVICES

With increased demand for value-based marketing, there is also growing demand of Green services.Global customers are not only interested in cost cutting through outsourcing but are also looking for energyefficient IT operations.

Example: ITC Infotech is a good example to understand how to package the services Green ITCInfotech is a Bangalore based independent Subsidiary of ITC Ltd. At corporate level ITC is working toestablish itself as a carbon free company. The company is working on Triple Bottom Line i.e. social,economic and environmental capital. The company is involved in many community driveninitiatives. It is one of the 10 companies globally and first one from India to start publishing sustainabilityreport in compliance with G3 guidelines of Global Reporting Initiative. The company is investing

in large-scale plantations to wash away its carbon positive image. It is also focusing on waterharvesting and working towards zero solid waste by recycling.

36 Cigarette warehouses were converted to make ITC Infotechs global development campus in the heart ofBangalore. The company has used recycled material and virtualization tools for optimizing energy usage inits data centers. It is also working on digital infrastructure to connect the rural farmers to the Internet usingsolar panels for power, so that the Indian farmers can get information on crop research and monitorweather trends. The company is using these as a service differentiator and positioning itself as Greenservice Provide. The corporate image of ITC Ltd. is further enhancing the True Green Image.


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Objectives of the study:

1. To identify that how many companies doing green business.

2. To know the scope of the green marketing.

3. To determine the present trend of green marketing in India.

4. To identify the problems/challenges associated with green marketing.

5. To know how many companies misuse the concept of green marketing.


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Green Strategy Formulation

As in formulation of green strategy, a firm may evolve it from a SWOT analysis orEnvironmental Audit.

SWOT ANALYSIS

STRENGTHS

1. Marketers get access to new markets and gain an advantage over competitors that are not focusing ongreenness.2. Marketers can charge a premium on products that are seen as more eco-responsible.3. Organizations that adopt green marketing are perceived to be more socially responsible.4. Green marketing builds brand equity and wins brand loyalty among customers.

E.g. research and development capabilities for clean processes and green products and humanresources committed to environmental protection.

WEAKNESS

1. Most customers choose to satisfy their personal needs before caring for environment.2. Overemphasizing greenness rather than customer needs can prove devastating for a

product.3. Many customers keep away from products labeled Green because they see such

labeling as a marketing gimmick, and they may lose trust in an organization that suddenly claims to begreen.

E.g. products cannot be recycled, and hazardous wastes) of a company.

OPPORTUNITIES

1. Marketing to segment which are becoming more environmentally aware and concerned. These

consumers are demanding products that conform to these new attitudes.2. Organizations perceive green marketing to be a competitive advantage, relative to the competitors.Firms, therefore, strive to improve upon their societal awareness. This complements theincrease in consumers socially conscious behavior and will therefore give them an advantage over


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competitors who do not address these issues.

E.g. offering an environmental friendly product and saving resources, and relatingthem to internal strengths.

EXTERNAL THREATS

1. Uncertainty as to the environmental impact of present activities, including that isperceived to be less environmentally harmful.2. Uncertainty as to which green marketing activities are acceptable from a government perspective.3. The possibility of a backlash from consumers or government based on existing green marketingclaims, threat one and two above may cause backlash to arise.

E.g. competitors gain market shares with green products and increasedenvironmental regulations)


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RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the research problem. It may beunderstood as a science of studying how research is done scientifically. In it we study the various stepsthat are generally adopted by a researcher in studying his research problem along with the logic behindthem. It is necessary for the researcher to know not only the research methods/techniques

but also the methodology. Researchers not only need to know how to develop certainindices or tests, how to calculate the mean, the mode, the median or the standard deviation, how to apply

particular research techniques, but they also need to know which of these methods or techniques, arerelevant and which are not, and what would they mean and indicate and why. Researchers also need tounderstand the assumptions underlying various techniques and they need to know the criteria bywhich they can decide that certain techniques and procedures will be applicable to certain

problems and others will not.

Thus, when we talk of research methodology we not only talk of the research methods but also

consider the logic behind the methods we use in the context of our research study and explain why we

are using a particular method or technique and why we are not using others.

PRIMARY DATA

The primary data are those which are collected afresh and for the first time, and thus happen to beoriginal in character. We collect primary data during the course of doing experiments in an experimentalresearch but in case we do research of the descriptive type and performs surveys.

Here the Primary data will be collected by means of preparing a questionnaire and getting it filled by alarge sample space. These questionnaires will help in drawing conclusions about the case.

SECONDARY DATA

Secondary data means data that are already available i.e. they refer to the data which have already beencollected and analyzed by someone else. When the researcher utilizes secondary data then he has to lookinto various sources from where he can obtain them. In this case he is certainly not confronted with the

problems that are usually associated with the collection of original data. Secondary data may either bepublished data or unpublished data.


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SIZE OF SAMPLE:

This refers to the numbers of items to be selected from universe to constitute a sample. An optimumsample is one, which fulfills the requirements of efficiency, representativeness, reliability andflexibility.

SAMPLE SIZE: - 100 CUSTOMERS

SAMPLE DESIGN: -

A sample design is definite plan for obtaining a sample from a given population. It refers to thetechnique or the procedure the researcher would adopt in selecting items for the samples.

SAMPLE DESIGN CUSTOMERS

SAMPLE TYPE: -

CONVENIENCE SAMPLING: -When population elements are selected for inclusion in the samplebased on the case of access; it can be called convenience sampling.


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ANALYSIS OF EFFECTS OF GREEN MARKETING

Research Methodology

This study is based on stratified sampling and a structured questionnaire has been used to gather datafrom about 100 respondents to analyze effects of green marketing. By analyzing respondents answerstowards the questions helps to understand the various aspects related to green marketing. The studyattempts to expand research on exploring how many people have positive attitude towards greenmarketing and what are their thoughts on it.

Results

According to the analysis of questionnaire most of the respondents were not aware about greenmarketing but after reading the questionnaire they realized what it is all about. Of the100 respondents about half were male and half female. The majority of respondents were between theage group of 20-25 with the next highest falling under the age group of 30-35 and a very small portionwere 55 years of age or older.


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Table 1: Respondents views on Green Marketing

40%

30%

10%

20%

RESPONDENT

Goods & ServicesEnvironmental Issue

Better ProductS

Can't Say

Decision Greenmarketing is agood source ofinformationabout goodsand services

Green marketingis good ataddressingenvironmentalissues

Green marketingresults in better

products

Can`t say

Respondent (%) 40 30 10 20


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Table 2: Acceptance level of green claims in green marketing

Decision Always Believe Sometimes Believe Not Believe

Respondent (%) 5 20 75

5%20%

75%

RESPONDENT

Always Believe

Sometime Believe

Not Believe


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SOME STATISTICS ABOUT GREEN MARKETING:

2) Have you heard of any campaign related to Green Marketing?

YES 55%

NO 45%

55%

45%

campaign %

yes

No


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3) Have you been part of any such campaign?

85%

15%

percentage

NO

YES

YES 15%

NO 85%


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4) Do you consider the environmental aspects of the products before buying them?

YES 24%

NO 76%

24

76

PERCENTAGE

YESNO


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5) Do you think that Green Marketing and advertising are good sources of information about greenproducts and services?

YES 75%

NO 25%

0

10

20

30

40

50

60

70

80

YES NO

75

25

PERCENTAGE

YES

NO


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6. Do you think that Green Marketing activities are good at addressing environmentalissues?

YES 65%

NO 35%


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0

10

20

30

40

50

60

70

YES NO

65

35

Percentage

YES

NO

9. Are you aware of the eco-labeling initiatives of the government?

YES 45%

NO 55%


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45

55

Percentage

YES

NO

CONCLUSION

Green marketing do not strengthen companys image in the mind of respondents that is very much clearfrom trustworthiness of green claims and certainly it do not have positive image of the organization inthe minds of the respondents. It was observed that the respondents who were more proactive with theenvironmental behavior have positive attitude towards green advertisements. It means greenadvertisements have positive impact on only those who are already practicing it. Rest of therespondents who were passive had very less impact on their buying behavior. This is the crucial aspectthat needs to be changed so that they can have positive impact on all the target market which will havean effect on their buying behavior. The result of the study indicate that the advertisements not reflected

the companies level of greenness and the proposition that green advertising reflects environmentallysound strategic and structural level decisions.


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Green marketing covers more than a firm's marketing claims. While firms must bear much of theresponsibility for environmental degradation, the responsibility should not be theirs alone.Ultimately green marketing requires that consumers want a cleaner environment and are willing to "pay"for it, possibly through higher priced goods, modified individual lifestyles, or even governmentalintervention. Until this occurs it will be difficult for firms alone to lead the green marketing revolution.

Having said this, it must not be forgotten that the industrial buyer also has the ability to pressuresuppliers to modify their activities. Thus an environmental committed organization may not onlyproduce goods that have reduced their detrimental impact on the environment, they may also beable to pressure their suppliers to behave in a more environmentally "responsible" fashion.Final consumers and industrial buyers also have the ability to pressure organizations tointegrate the environment into their corporate culture and thus ensure all organizations minimize thedetrimental environmental impact of their activities. Thus green marketing should look at minimizingenvironmental harm, not necessarily eliminating it. Green marketing covers more than a firm'smarketing claims. While firms must bear much of the responsibility for environmental degradation,ultimately it is consumers who demand goods, and thus create environmental problems. One example ofthis is where McDonald's is often blamed for polluting the environment because much of their

packaging finishes up as roadside waste. It must be remembered that it is the uncaring consumer whochooses to disposes of their waste in an inappropriate fashion. While firms can have a great impact onthe natural environment, the responsibility should not be theirs alone. It appears that consumers are notoverly committed to improving their environment and may be looking to lay too much responsibility onindustry and government. Ultimately green marketing requires that consumers want a cleanerenvironment and are willing to "pay" for it, possibly through higher priced goods,modified individual lifestyles, or even governmental intervention. Until this occurs it will be difficultfor firms alone to lead the green marketing revolution. It must not be forgotten that the industrial buyeralso has the ability to pressure suppliers to modify their activities. Thus an environmental committedorganization may not only produce goods that have reduced their detrimental impact on theenvironment, they may also be able to pressure their suppliers to behave in a more

environmentally "responsible" fashion. Final consumers and industrial buyers also have theability to pressure organizations to integrate the environment into their corporate culture and thus ensureall organizations minimize the detrimental environmental impact of their activities.

As the demand for green products undoubtedly exist, Green Marketing provides an opportunity to thecompanies to increase their market-share by introducing eco friendly products. Stricter environmentalregulations across the world, growing consumer preference for eco-friendly companies, and the inherentcost advantages in lowering toxic waste, are encouraging industries big and small to clean up.Result of a survey conducted showed that, consumers are not overly committed to improving theirenvironment and may be looking to lay too much responsibility on industry and government. Thoughits the responsibility of the firm to produce products, which are having minimum impact on theenvironment, but ultimately its the consumer who is having responsibility to use eco friendly products.Consumers are not too much concerned about the environment but as they have become moresophisticated, they require clear information about how choosing one product over another will benefitthe environment. Consumer education results in their empowerment. Empowered consumers chooseenvironmentally preferable products when all else is equal.

Ultimately green marketing requires that consumers Think Green, Think clean, Think Ecofriendly i.e.they want a cleaner environment and are willing to "pay" for it, possibly through higher priced goods,

modified individual lifestyles, or even governmental intervention. Until this occurs it will be difficult forfirms alone to lead the green marketing revolution.


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Recommendations

Finite resources such as oil, metal, and even fresh water will become scarcer and moreExpensive. If businesses do not become more efficient in using these resources it will have a hugeimpact on the bottom line. Investing in Green Products thus changes from beyond doing good toultimately good business sense. Thus they should: Invest in research and create clean and environmentfriendly products. Clean energy sources such as solar, wind, bio-fuels and hydral power. Waterharvesting.

Recycle at every level.

Move towards paperless office.

Educate masses of the environment issues because they are going to be the bulk

consumers. Socially responsible investing in environment driven projects. Plant more trees.

The corporations must rethink:


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Their raw material and procurement strategies.

They should develop new products

They should redesign existing products and service.

They should realize that pollution prevention can be a cost saving activity.

They should steer their product and packaging designs to use less material.

After having analyzed the primary and secondary data, the following recommendations can be made to

the organization:

A proper balance of the time factor, cost factor and complex procedures can help the firm inbeing successful in its implementation of biotechnology for the production of herbal products.

The organization may try and create more awareness about the benefits of herbal and neem basedproducts as compared to the harmful chemicals that are used for the same purpose.

Biotechnology is a relatively new field with very few organizations indulging in the same. Thusthe firm should organize and strategize all its activities keeping in mind the newness of

biotechnology and the benefits it is capable of offering.

Indian agriculture sector can improve with the support of good infrastructural facilities such asfertilizers, irrigation facilities, herbal pesticides etc. the organization can aim at providing these

necessities to the agriculture sector. Such a transaction will benefit, though in a small way, boththe organization as well as our primary sector.

Last but not the least the organization can also spread its operations outside the nation whereawareness about green marketing and biotechnology is much more as compared to India.

According to pie charts it was found that 55% people are aware of the campaign about green

marketing and rest (45%) are those who dont know so there is no great difference so accordingto me M.N.C` and government should make more efforts to make common people be a part ofcampaign related to green marketing .

According to the data only 24% people think about environmental aspect before buying productsSo companies have to conduct such awareness programs to know people about how can youclean your environment and get rid of some environmental problems like global warming,

pollution etc.

According to the last pie chart 45% people know about the eco-labeling initiatives of the

government which is less than the percentage of people who dont know so government shouldcome forward with some awareness programs and campaigns to let people know about green

products and the benefits of using such products.


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LIMITATIONS OF THE STUDY

1. DEMOGRAPHIC CONSTRAINTS - will be a main issue of concern. This is due to thereason that the data collection will be restricted to the Delhi and NCR region.

2. DATA RELIABILITY - As the data will be collected from various sources the accuracy of thedata collected would be an area of concern. It would be an uphill task to validate the data consistency of

the collection of that data.

3. UNAWARENESS People are unaware of the i.e. Green marketing


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4. TIME CONSTRAINT the time duration for doing the complete research on green marketingis very limited. Green Marketing a broad topic which requires an in-depth research and analysis. Due tothe time period given for research is very limited.

Questionnaire for Green Marketing

Name: -----------------------------------------------

Age: -----------------------------------------------

Occupation: -----------------------------------------------

Phone: --------------------------------

Documents

Green Marketing in Indian Perspective