The Extended Consequence of Greenwashing: Perceived Consumer Skepticism

In a review of more than 1,000 self-described ＂green＂ or eco-friendly products, one organization [TerraChoice, 2010] found that all but one of the products exhibited some form of greenwashing. ＂Greenwashing＂ is a type of spin in which public relations or marketing is used deceptively to promote the perception that a company and its products or services are environmentally safe or ＂friendly＂. This study examined the construct of perceived consumer skepticism as the extended consequence of greenwashing, thus extending the study by Chang and Chen [2013], which examined the link between greenwashing and green trust, with a view to the extended and final consequences. The authors of the current study formulated 10 hypotheses, developed a structural model with six variables, and tested the relationships in the model using a purposive sampling technique that involved an online and offline survey of a sample of green consumers in Yogyakarta, Indonesia. This study found that greenwashing has a positive association with green consumer skepticism (GCC), perceived consumer skepticism (PCS), and green perceived risk (GPR). Furthermore, the study found a surprising link between GCC-PCS-GPR and green trust (GT). The study also discussed the practical implication of these findings and offers suggestions for future research.