A Study of Green Marketing Practices in Indian Companies

A Study of Green Marketing Practices in Indian Companies

Bhimrao Ghodeswar (National Institute of Industrial Engineering, India) and Prashant Kumar (National Institute of Industrial Engineering, India)
DOI: 10.4018/978-1-4666-7357-1.ch046
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Abstract

The article aims to study green marketing practices and to identify what determines green marketing orientation for a company. A questionnaire-based survey method was adopted for the data collection from 220 companies in India. The data were analyzed using exploratory and confirmatory factor analyses. Further, the proposed hypotheses were tested using structural equation modeling. Product design innovations, responsible sourcing, recycling practices, price setting behaviour, ethical standards, responsible advertising, green communication practices, building green product credibility and consumer engagement practices were identified as core green marketing practices that determine green marketing orientation. Results of the study offer the elements of green marketing mix and a broad understanding of green marketing orientation. The study is limited for not making substantial inferences between different industries or specific company types. Results of the study enable green marketers to understand the ways of developing environmental orientation of their marketing activities aimed to produce profitable exchanges through increased levels of adaptation to the market. The study makes significant contribution in developing multi-disciplinary approach for conceptual development in green marketing and is one of its own kinds to study green marketing orientation.
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Conceptual Development

The concept of green marketing was introduced in the late 80s (Peattie & Crane, 2005) and since then, academic developments in the domain has resulted in integrating environmental concerns in all domains of business operations ranging from product design and sourcing to manufacturing, supply chain, reverse logistics and disposal (Zhu et al., 2010; Pujari et al., 2003; Pujari & Wright, 1996). At present, it has emerged as a business philosophy aimed to satisfy needs of environmentally-conscious consumers and to meet companies’ economic objectives with minimal environmental damage (Ko et al., 2013; Fraj-Andres et al., 2009). Since green marketing entails a fundamentally different way of looking at the world and marketing’s place in it, an expansion of the limits of marketing inquiry is required.

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