Ethical Investing: Keeping an Eye Out For Greenwashing Companies

People are becoming more enlightened about the importance of environmental issues and the effort of environmental conservation measures. It is evident in many countries in every sector, from clean energy generation to electric cars.

Due to the growing demand for eco-friendly products, many companies have turned to producing green products, but not all companies make eco-friendly products; many are covering the harmful side for marketing purposes

Some of the products are hard to distinguish and therefore raise a challenge for many people asking what is greenwashing.

What Is Greenwashing, And How Do You Spot It?

They Are Not Specific To Prove Their Credibility

Greenwashing companies have poor communication skills and do not reveal any specificity; this is probably not to disclose every detail, which would show their incredibility. Branding your products as “friendly to the environment” does not help; people need every detail to verify that the product helps preserve our surroundings. Such information can be about the reusability of the product and more.

They Follow Trends to Remain Competitive

It is easy to tell what is greenwashing, particularly if the company is hunting trends. Keeping up with the latest trends will make your products more fashionable and competitive. But chasing such trends can make a company get carried away and lose its course for environmental preservation. Sometimes companies that stick to their original product designs are more credible than those that keep changing every time.

They Do Not Truly Uphold Their Belief in a Clean Environment

You can quickly tell what is greenwashing from bottle labels and instructions of use because such bottles do not bear a leaf with clear guidelines to the user on proper disposal, ingredients of the product, and safety precautions. It is also evident that such companies do not participate in environmental conservation measures such as collecting used plastic bottles for recycling or reusing.

They Do Not Have a Scientific Approach to Their Sustainability Measures

To ensure that your efforts are always towards sustainability, one must take a scientific approach to the problem. The scientific method involves measuring, observing, analyzing, and applying the results to improve the product, making the products more efficient over time. If you are ever wondering what is greenwashing? You must have observed that those companies do not invest their funds into research and development.

The other thing greenwashing companies do not do is keep updating people on what’s new about their products. In other words, greenwashing companies do not keep proving to people that their products always remain the best in the market.


The article equips one with the knowledge to identify/spot greenwashing products by looking at them. For instance, a bottle that contains a genuinely green product would be labeled “recyclable” or such. Green product companies are conducting campaigns and other community activities aimed at environmental conservation.

Such activities can be as simple as collecting plastic bottles around for recycling or reusing. Green product companies also carry out campaigns to create awareness in the community about the dangers of damaging the environment.