ACCA Applied Knowledge · Business and Technology · Sustainable business practices
Milton plc publishes glowing statements about its environmental commitment, but its actual operations have not changed and it continues to pollute a local river. Which term best describes this behaviour?
This behaviour is greenwashing: the company makes public claims of environmental commitment that are not backed by real changes in its operations. It is misleading and damages trust, unlike stakeholder mapping, which analyses stakeholders, or philanthropy, which involves charitable giving.
- AGreenwashingCorrect
- BStakeholder mapping
- CCorporate philanthropy
Explanation
Greenwashing is presenting a misleading image of environmental responsibility without real action. Stakeholder mapping is an analysis of stakeholder power and interest. Philanthropy is charitable giving, which is not what is described.
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