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Greenwashing occurs when organizations advertise themselves as green when their actions are not.

The practice of "greenwashing" refers to when a business presents itself as environmentally sensitive for marketing purposes but in reality isn't doing any significant sustainability measures. Even when they have the best of intentions, businesses can greenwash. Due to greenwashing, the majority of American customers do not believe business statements regarding their sustainable policies.

An organization engages in "greenwashing" when it invests more time and resources in portraying itself as environmentally benign than in actually reducing its environmental impact. It's a dishonest marketing ploy used to mislead customers who favor purchasing products and services from companies that practice environmental responsibility. In 1986, environmentalist Jay Westerveld first used the phrase "greenwashing" in a critical essay motivated by the irony of the hotel industry's "save the towel" initiative, which had little effect beyond saving hotels money on laundry.

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