Research On The Causes And Consequences Of Corporate Greenwash

Entering the 21st century,global warming,dust and haze have gradually become hot topics in various countries.As the environment becomes worse and worse,people are increasingly aware of the importance of protecting the environment.Companies used to focus on their own interests,but they have gradually accepted the theory of social responsibility when green environmental protection has become fashionable.It is a pity that many companies do not truly achieve 100% environmental protection,but adopt a false "greenwashing" behavior to cover up their own pollution.Since "Southern Weekend" established the annual corporate greenwashing list,corporate greenwashing has gradually entered the public eye and has become an emerging direction in the academic research field.Research on corporate greenwashing behavior is not rich.The concept of greenwash is still vague,and there is no official conclusion about its manifestation,and there are very few documents discussing the causes and economic consequences of greenwashing.But to truly solve the problem of corporate greenwashing,we must have a comprehensive understanding of greenwashing.What exactly is greenwashing? What are its characteristics and types? What is the motivation for the company’s greenwash? Will the capital market punish the greenwashing behavior after it is exposed? Will the corporate reputation and financial performance be negatively affected by the exposure of greenwashing? Based on the above problems,this article has launched a research.This article takes the North China Pharmaceutical greenwashing incident as the research object.First,it introduces the current situation of greenwashing,the case history and the reasons for the selection.Then,it explores the motivations of the North China Pharmaceutical greenwashing from the four aspects of pressure,opportunity,excuses and exposure,and then uses the event research method to study The market reaction after the exposure of North China Pharmaceutical’s greenwashing behavior is analyzed,and the impact of greenwashing exposure on North China Pharmaceutical’s financial performance is analyzed using the financial index method,and the impact of greenwashing on the reputation of North China Pharmaceutical is also analyzed.Through research,this article has reached three conclusions:First,the capital market has punished North China Pharmaceuticals for greenwashing exposure,and there is a certain degree of continuity;second,greenwashing exposure will indeed bring a negative impact on corporate reputation;third,North China The exposure of pharmaceutical greenwashing reduces the financial performance of companies by increasing costs and reducing company sales revenue.Finally,in response to the research conclusions,this article puts forward suggestions on curbing the phenomenon of corporate greenwashing,that is,companies should actively change their business concepts,and the government can improve corporate greenwashing from five aspects: public awareness,legal systems,information transmission,supervision and management,and punishment measures.