Greenwashing in the Spotlight: Synthesising Evidence on Unethical Environmental Claims and Future Pathways

ABSTRACT Firms are experiencing mounting pressure to report their environmental impact. Rather than disclosing their actual performance, however, some are engaging in unethical business (i.e., greenwashing) practices. Prior studies have contributed significantly to the greenwashing literature from varied perspectives, but a comprehensive understanding of the various antecedents and consequences of this unethical business practice is lacking. In addition, the strategies that can help to overcome firms' greenwashing tendencies must be highlighted. To this end, we utilised a mixed‐method approach involving two steps. First, we conducted a systematic review of 99 relevant studies, mapping them across three distinct thematic areas: antecedents, consequences and strategies to combat greenwashing. In the second study, we conducted a qualitative survey involving 16 executives, to corroborate and enriched our understanding of greenwashing issues, providing empirical grounding of our findings. We offer five potential research models that further unravel the contextual factors that bear upon the antecedents and consequences of greenwashing. Our findings have important implications for researchers seeking to understand the current state of greenwashing research and the various gaps that require further exploration. Policymakers, meanwhile, can deepen their understanding of the damaging impact that greenwashing practices can have on the environment and society in general and the efforts required at the policy and procedural levels to curb such practices.