Corporate Greenwashing and Sustainability Communication: A Review of Literature and Emerging Research Directions
DOI:
https://doi.org/10.66635/p2mn2a75Keywords:
Greenwashing, Sustainability Communication, Corporate Social Responsibility (CSR), Sustainable Entrepreneurship, ESG ReportingAbstract
This paper reviews the growing phenomenon of corporate greenwashing and its relationship with sustainability communication, with a particular focus on entrepreneurship and the Asian context. As sustainability becomes a strategic priority, organizations increasingly use communication tools such as CSR reports, ESG disclosures, and green marketing to signal environmental responsibility. However, the literature reveals a persistent gap between symbolic communication and substantive environmental performance, leading to misleading practices commonly referred to as greenwashing. This review synthesizes existing research to examine the conceptual foundations, drivers, and consequences of greenwashing, along with the role of sustainability communication in shaping stakeholder perceptions. The study adopts a narrative literature review approach, drawing on recent academic work across disciplines to identify key themes, trends, and research gaps. Findings indicate that greenwashing is driven by competitive pressures, weak regulatory environments, and the pursuit of legitimacy, while stakeholder awareness and digital media are increasing scrutiny of corporate claims. The review also highlights the unique challenges faced by SMEs and entrepreneurial ventures, particularly in emerging Asian economies, where resource constraints and institutional variations influence sustainability practices. Emerging trends such as digital communication, ESG standardization, and technological tools for detection are reshaping the field. The paper concludes by emphasizing the need for greater transparency, ethical alignment, and stronger governance frameworks to ensure credible sustainability communication and support genuine sustainable development.
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