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The Development of Eco-Labelling Eco-labelling Schemes: An Economic Perspective

In: Handbook of Environmentally Conscious Manufacturing

Author

Listed:
  • S. Salman Hussain

    (United Nations Environment Programme (UNEP))

  • Dae-Woong Lim

    (Eco Management Consulting Co.)

Abstract

Eco-labelling might be considered as an extension of conventional marketing practices, a profit-driven response by industry to the commercial pressures of green consumer consciousness. Peattie defines green marketing as “the management process responsible for identifying, anticipating and satisfying the requirements of customers and society, in a profitable and sustainable way” (1992:11). If this definition is adopted then eco-labelling is simply a form of media that communicates information to a (receptive) user on the impact of a firm’s product on the natural environment compared with that of its competitors. An externally verified eco-labelling scheme should then serve to validate such a marketing claim, therein protecting the user from deceptive and/or false environmental information, a phenomenon known as “greenwashing” (Rockness, 1985). The Organisation for Economic Co-operation and Development (OECD) interprets the goals of environmental labelling as follows: improving the sales or image of a labelled product; raising the awareness of consumers; providing accurate information; directing manufacturers to account for the environmental impact of their products; and protecting the environment (OECD, 1991).

Suggested Citation

  • S. Salman Hussain & Dae-Woong Lim, 2022. "The Development of Eco-Labelling Eco-labelling Schemes: An Economic Perspective," Springer Books, in: Christian N. Madu (ed.), Handbook of Environmentally Conscious Manufacturing, edition 2, chapter 8, pages 85-93, Springer.
    • Handle: RePEc:spr:sprchp:978-3-030-75834-9_8
    DOI: 10.1007/978-3-030-75834-9_8
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