A Strategic Perspective on Green Packaging: Concerns and Actions

Abstract

The purpose of this study was to examine how firms are reacting disposable products and green packaging. As consumer's concern for environmental safety assumes greater importance, so will the interest in green packaging. As stated in the Small Business Report “Green can be converted into gold” by organizations adopting green packaging. The scope of consumer consciousness in green packaging can be seen by the popularity of Earth Day, movements like Green Peace, federally sponsored EPA environmental safety programs, environmental legislation passed by various states and more recently, various efforts to restrict certain forms of packaging. The success of green packaging depends primarily upon the attitudes of consumers expressed in their buying patterns. Are consumers willing to pay a little more for green packaging? Companies fear falling behind their competition because of the additional expenses of green packaging and therefore ask themselves three questions: (1) Is the risk of more expensive green packaging worth taking?, (2) Can the cost of green packaging be reasonably contained?, (3) Can additional expenses associated with green packaging be re-couped in a reasonable time? Some firms have resisted green packaging, including the recycling symbol itself. Five identified problem areas are: ( 1) symbols and definition of green packaging terms, (2) the high cost of investment expenditures, (3) mixed signals and information presented on whether or not a “solid waste” crisis exists, ( 4) governmental bias of accepted options of product recycling and reusing leading to satisfying governmental regulators rather than seeking solutions for positive long term effects on the environment and (5) most importantly to many companies, the unpredictability of consumer buying patterns.