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MIDLANDS STATE UNIVERSITY
FACULTY OF
COMMERCE
DEPARTMENT OF MARKETING MANAGEMENT
RESEARCH SUPERVISION ACKNOWLEDGEMENT FORM
Name of Student: Bernard Tapiwa Sithole Registration Number: R14845E
Name of Supervisor: Mrs D Nkala
Research Topic: An evaluation of the effect of green marketing strategies on corporate image in
the cement manufacturing industry of Zimbabwe
I, the undersigned do acknowledge that the student named above has consulted me for
supervision of her project/dissertation until completion. I therefore do advise the student to
submit her work for final assessment.
Signed…………………………………………… Date…………………………………………
1
DECLARATION
Student number R14845E
I, declare that Evaluation of the effect of green marketing strategies on corporate image in
cement manufacturing industry of Zimbabwe is my own work and all the sources used or
quoted have been indicated and acknowledged by a way of complete referencing.
………………………………………… …………………………………
DJI Date
DEDICATION
2
This dissertation is dedicated to love and my three lovely kids. You guys are the centre of my
universe.
ACKNOWLEDGEMENTS
3
Sincere gratitude to the following for the assistance rendered to me for this document to be a
success.
• The LORD I thank you for giving me the inspiration, ability, and passion to work during
the entire course of my study.
• Many thanks my supervisor Ms D Nkala for guiding me throughout this project. It has
been a long journey with obstacles and insights but she has been the force behind the
completion of this dissertation.
• May I offer my profound gratitude goes to my friends Chiedza Maposa and Phillip
Munhupedzi for their support and invaluable insights during my research.
• I am grossly indented to the Faculty of Commerce; Chairperson (Mr Duve) and Head of
Marketing Department Mrs Mugwati and all lecturers and all other staff in the marketing
department.
• I am also grateful to, customers and management of Sino Cement Zimbabwe, Pretoria
Portland Cement and Lafarge Cement Zimbabwe for making my dissertation a success
through providing the needed information.
• I also want to express my sincere gratitude to all people who responded to the interviews
and questionnaires for this study.
• To all my academic colleagues from the Masters of Commerce in Marketing Strategy
class for the continuous encouragement and support during the course of the study as say
Viva the spirit of Havruta
ABSTRACT
The research which was undertaken from January to April 2015 looking at the effect of green
4
marketing strategies on corporate image in the cement manufacturing industry in Zimbabwe. The
main purpose of this study is to assess the effects of green marketing strategies that is green
promotions, eco-labelling, eco-production and green purchasing on corporate image. Literature
review was carried out on the effects of green marketing strategies on corporate image particularly
effect of green promotion on corporate image , effect of eco-labelling on corporate image, effect
of eco-production on corporate image and effect of green purchasing corporate image as
discussed, to find similarities and differences from different authors who studied green
marketing variables and in this study major authors were Frunan (2010), Gassmann (2011), Ham
(2011) and Bauer (2013). Pragmatism and both descriptive and exploratory research design were
adopted which allows the gathering of data and description of events through organizing,
tabulating, depicting and describing the data gathered. Simple random sampling, and
judgemental sampling were used to select the respondents of which the procedures give each unit
of the population an equal chance of being picked as well as allowing flexibility on the part of
the researcher to use readily available participants. A sample size of 221 particularly 200
customers and 15 middle managers and 6 senior managers was used. SPSS V20 was used to
analyse data and presentations were done in the form of table, bar-graphs, and pie-charts.
Qualitative information was discussed to reflect the views of the respondents on the effect of
green marketing strategies on corporate image in the cement manufacturing industry in
Zimbabwe. The major findings are that if fully implemented green marketing strategies results in
a positive corporate image as all cement manufacturing stakeholders want cement manufactures
to install genuine green promotions, trust worth eco-labelling programs, practical eco-production
processes strategies and credibility and fair green purchasing activities. In view of the above
findings the study recommended that there is need for cement manufactures to be open to its
various stake holders in the industry to generate trust which is an important builder of corporate
image. On further research, a gap still exist on impact of green marketing on customer loyalty.
TABLE OF CONTENTS
Title Page
5
Supervisor acknowledgement……………………………………………………………………i
Declaration……………………………………………………………………………………....ii
Dedication ……………………………………………………………………………………....iii
Acknowledgements ……………………………………………………………………………..iv
Abstract…………………………………………………………………………………………..v
Table of contents…………………………………………………………………………………vi
Chapter I………………………………………………………………………………………...1
General Introduction…………………………………………………………………………...1
1.0 Introduction…………………………………………………………………………………..1
1.1 Background to the problem…………………………………………………………..............1
1.2 Statement of the problem……………………………………………………………….........5
1.3 Conceptual Framework………………………………………………………………………6
1.4 Research objectives…………………………………………………………………….…….7
1.5 Hypothesis……………………………………………………………………………………7
1.6 Significance of the study…......................................................................................................8
1.7 Assumptions……………………………………………………………………………….....9
1.8 Delimitations…………………………………………………………………………….…...9
1.9 Limitations…………………………………………………………………………………...10
1.10. Definition of terms and abbreviations………………………………………………….….10
1.11. Chapter summary……………………………………………………………………….....11
Chapter II………………………………………………………………………………….........12
Literature Review……………………………………………………………………………....12
2.0 Introduction………………………………………………………………………….............12
2.1 Corporate image ………………………………………………………………….................12
2.1.1 Corporate image success factors…………………………………………………………..13
2.1.2 Elements of corporate image………………………………………………………………15
2.2 Green marketing strategies………………………………………………………………......15
6
2.2.1 Forms of green marketing strategies……………………....................................................16
2.2.1.1 Eco-labelling strategy…....................................................................................................16
2.2.1.2 Types of Eco -labels………………………………………………………………..……17
2.2.1.2.1 Mandatory eco labels………………………………………………………………….17
2.2.1.2.2 Voluntary labels……………………………………………………………………….19
2.2.1.3 Effect of eco-labels on corporate image……….……………………………..................20
2.2.2.1 Green promotion strategy……………………………………………………………….20
2.2.2.2 Ways to implement green promotion strategies………………………………….…......21
2.2.2.3 Green promotion tools…………………………………………………………………..22
2.2.2.4 Effects of green promotion on corporate image...............................................................23
2.2.3.1 Eco-production processes strategy.........................................................................….......24
2.2.3.2. Elements of Eco-production processes strategy………………………………………...25
2.2.3.3. Effects of Eco-production strategy on corporate image…...............................................26
2.2.4.1. Green purchasing strategy…………………………………………………………........27
2.2.4.2. Green purchasing dimensions…………………………………………………………..28
2.2.4.3. Effects of Green purchasing on corporate image………………………….....................29
2.3. Effects of Green marketing strategies on corporate image…………………………………30
2.4. Summary of Chapter………………………………………………………………………..31
Chapter III….………………………………………………………………………………......32
Research Methodology……………………………………………………………………........32
3.0 Introduction…………………………………………………………………………….........32
3.1. Research Philosophy………………………………………………......................................32
3.2. Research Design…………………………………………………………………………….33
3.2.1. Exploratory research………………………………………………………………….......33
3.2.2. Descriptive research………………………………………………………………….........34
3.3. Target Population……………………………………………………………………………35
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3.4 Sampling methods and sampling techniques………………………………………………...35
3.4.1 Sampling Procedure……………………………………………………………………......35
3.4.1.1 Non Probability Sampling……………………………………………………………......35
3.4.1.2 Probability Sampling……………………………………………………………….........36
3.4.2 Sampling frame…………………………………………………………………………….36
3.4.3 Sample size…………………………………………………………………………….......37
3.5 Data sources………………………………………………………………………………….38
3.5.1 Secondary data…………………………………………………………………………......38
3.5.2 Primary data………………………………………………………………………………..39
3.6 Research instruments…………………………………………………………………….......39
3.6.1 Questionnaires………………………………………………………………………….......39
3.6.2 Interviews………………………………………………………………………………......40
3.7 Data collection Procedure and administration……………………………………………….41
3.8 Validity and Reliability of findings……………………………………………………….....41
3.9 Ethical statement…………………………………………………………………………......42
3.10 Data analysis and presentation tools……………………………………………………......42
3.10.1. Data presentation methods……………………………………………………….............42
3.11. Chapter summary………………………………………………………………………......43
Chapter IV………………………………………………………………………………………44
Data Presentation, Analysis and Interpretation of findings…………………………………44
4.0 Introduction…………………………………………………………………………………..44
4.1. Response Rate……………………………………………………………………………….44
4.2. Eco -labelling effect on corporate image …………………………………………………...45
4.2.1 Customers Response ………………………………………………………………………45
4.2.2 Managers Responses………………………….....................................................................46
4.2.3 Linear Regression findings: Eco -labelling effect on corporate image……………………47
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4.3 Green-promotion strategy on corporate image………………………………………………48
4.3.1 Customers Response ………………………………………………………………………48
4.3.2 Managers Responses ……………………………………...................................................49
4.3.3 Linear Regression findings: Green-promotion strategy on corporate image……………...51
4.4. Eco –production processes effect on corporate image……………………………………..52
4.4.1 Customers Response ……………………………………………………………………...52
4.4.2 Managers Responses ……………………………………...................................................54
4.4.3. Linear Regression findings: Eco –production processes effect on corporate image……..55
4.5 Green purchasing on corporate image …………....................................................................56
4.5.1 Customers Response ………………………………………………………………………56
4.5.2 Managers Responses ……………………………………....................................................58
4.5.3. Linear Regression findings: Green purchasing on corporate image………………………60
4.6 Chapter Summary………………………………………………………………....................61
Chapter 5………………………………………………………………………………………62
Summary, Conclusions and Recommendations………………………………………………..62
5.0 Summary…………………………………………………………………………………...62
5.1. Conclusions………………………………………………………………………………..63
5.1.1 Effect of eco-labelling on corporate image ………………………………………….......63
5.1.2 Effect of green promotion on corporate image …………………......................................64
5.1.3 Effect of eco-production on corporate …………………………………………………...65
5.1.4 Effect of green purchasing on corporate image…………………………………………..65
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5.2 Recommendations…………………………………………………………………………..66
5.3 Area for further research……………………………………………………………………68
REFERENCES…………………………………………………………………………….59-78
LIST OF APPENDICES
Appendix 1 Covering Letter for customers……………………………………………………A1
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Appendix II: Questionnaire for Customers ………………………………………………. …..A2
Appendix II1: Covering Letter for customers………………………………………………….. A3
Appendix IV: Questionnaire for managers……………… ……………………………………..A4
Appendix V: Interview Guide for senior ………………………………… ……………………A5
Appendix VI: The Frontier Consulting Group Corporate Image Index Framework……………A6
Appendix VII: Linear Regression Data (1 Typical Year) ……………………………………..A7
Appendix VIII: Analysis of Variance (ANOVA) Tables……………………………………...A8
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LIST OF FIGURES
Fig: 1.3 Conceptual Frame………………………………………………………………………6
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LIST OF TABLES
3.4 Sample Frame……………………………………………………………………………….36
3.5 Sample size…………………………………………………………………………………..37
4.1 Questionnaire Response Rate……………………………………………………………......44
4.2 Customer Rating the effect of Eco-labelling Programs on corporate image……...................45
4.3 Managers Rating the effect of Eco-labelling Programs on corporate image……………......46
4.4 Correlations between Corporate Image and Green Labelling……………………………….46
4.5 Regression Coefficients for effect of Green Labelling on Corporate Image………………..47
4.6 Customers rating the effect of green promotion programs on corporate image……………..48
4.7 Managers rating effect of green promotions activities on corporate image…………………49
4.8 Correlations between Corporate Image and Green Promotions……………………………..49
4.9 Coefficients for Effect of Green Promotion on Corporate Image……………………………50
4.10 Customers rating, effect of eco-production processes programs on corporate image……...51
4.11 Managers rating the effect of eco production processes activities on corporate image…….50
4.12 Correlations between Corporate Image and Green Production…………………………….52
4.13 Customer rating the effect of green purchasing programs on corporate image…………….51
4.14 Managers rating the effect of green purchasing programs on corporate image…………….52
4.14 Correlations between Corporate Image and green purchasing……………………………..53
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CHAPTER 1
GENERAL INTRODUCTION
1.0 Introduction
The chapter introduces the subject matter of the study that is the effect of green marketing
strategies on corporate image through looking at the Zimbabwean cement manufacturing sector.
In addition to the above the chapter looks at the background to the study, statement of the
problem, conception framework, objectives and research questions .The chapter round up by
examining delimitations, limitations and definition of the terms.
1.1 Background to the Study
Peattie (2012) referred to green marketing as ‘the holistic management process responsible for
identifying, anticipating, and satisfying the requirements of the consumers and society, in a
profitable and sustainable way’, it implies that organizations need to determine the needs of
target markets and to deliver the desired satisfactions in a way that enhances the consumers and
the society’s wellbeing. Customers are now demanding green products and Krautzberger (2012)
referred green products as products whose functions or ideas deal with the process of material
retrieval, production, sales, utilization and waste treatment available for recycling, reduced
pollution and energy saving this has prompted cement manufacturing companies to use green
marketing strategies like green purchasing, eco-labelling, green promotion and eco-production
processes to influence corporate image. In addition Frunan (2010) outlined corporate image it as
a net results of knowledge, beliefs, ideas, feelings and impressions about an organisation which
is mental picture that springs up at the mention of a firm's name.
Although academics seems to concur about the significance of green marketing in bringing in a
competitive advantage to business its particular effect on corporate image has not been
adequately addressed hence the aim of this study. Looking at a global perspective a research was
done in the Sweden by Crassous and Gassmann (2011) studying whether green marketing can be
a competitive advantage in service marketing. The major finding was that indeed green
marketing can bring in competitive advantage in services sector if appropriate strategies are
14
employed, this study on the other hand mainly focuses on the manufacturing sector particularly
the cement industry and more so on the effect of green marketing on corporate image. Another
related research was done in the Croatia by Ham (2011) while studying the relevance of green
marketing in retail sector the researcher`s study emphasised the important role of green
marketing communication in the implementation of green marketing strategies the research was
focusing on a single green marketing strategy while this current research will focus on the
following green marketing strategies; green purchasing, eco -labelling, eco-production processes,
green promotion. Another research was by Joey (2014) while studying the role of green
marketing in American business he postulated that green marketing is a tool now used by a
number of firms to increase their competitive advantage because society is currently very
concerned about environmental issues. While applying green marketing, the firms have to satisfy
the consumers’ needs and wants, the focus of the above study was investigating how green
marketing strategies can bring a tangible competitive advantages in business which is in contrast
this current study which seeks to evaluate the effect of green marketing strategies on corporate
image an intangible competitive aspect.
In developing world a research was done in India by Kumar and Rahamanin (2011) concerning
the green marketing mix adaptation to changing global climate the major finding was that
companies are redefining their marketing mix in the context of changing global climate making
green marketing strategies a necessity rather than an option. In contrast this study will focus on
the effect of green marketing strategies on corporate image of cement manufacturing players.
According to the research done in Colombo by Samarasinghe (2012) investigating the success
source of green marketing in Colombo hotel sector. The major finding was that the green based
flexibility has helped hotels to sustain competitive advantage in financial performance,
positioning and in inimitability.
Another related research was done by Mpele (2012) South Africa to investigate the level of
awareness regarding green marketing and its managerial implications, among selected, South
African Manufacturing Small, Medium and Micro Enterprises (SMMEs), the major finding was
that the research demonstrated that there is a need for South African manufacturing SMEs to
increase green marketing awareness and understanding of green marketing concept benefits to
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the sector and its target market. The study further identified the lack of skilled marketing
personnel as a major barrier facing their companies, with regard to practicing green marketing.
From the above research it clear to the researcher that the researcher took a narrow perspective
of green marketing as by concentrating the research on customers only the researcher therefore
took a stake holder approach to the problem thus had the following groups of people as
respondents middle managers, senior managers and customers.
In less developed nations like related research was done on corporate image in Egypt by Nahas
(2013) when the researcher was investigating the relation between corporate image, service
quality and customer satisfaction .The major finding was corporate image goes hand in hand
with customer satisfaction and it is a very critical aspect in the success of any organisation thus
continuous research on it is a must to successfully differentiate ones` corporate. The above
research concentrated on the link between corporate image, service quality and customer
satisfaction and did not try to link corporate image and green marketing strategies as this study
will endeavour.
Another research was done in Genuine by Oyewole (2011), when studying social costs of
environmental justice associated with the practice of green marketing. The major finding was the
conceptual link among green marketing, environmental justice, and industrial ecology, the
researcher argues for greater awareness of environmental justice in the practice for green
marketing. Furthermore in contrast with the type of costs commonly discussed in the literature,
the paper identified another type of costs, termed 'costs with positive results,' that may be
associated with the presence of environmental justice in green marketing. It can be noted that
the above researcher emphasised costs of implementing green marketing thus was more or less
negative to the green concept but in this study the researcher will focus on the results of green
marketing strategies and their impact on corporate image.
An analysis of the Zimbabwean perspective revealed that related research done on green
marketing strategies and corporate image is very scarce in general except for a far- related one
done by Mapira(2012) the researcher was studying river pollution in Mutare river ,the major
finding was that heavy industries in and around Mutare were responsible for river pollution due
16
to industrial effluent discharge. Unlike this study the research didn’t extend probable solutions or
ways to correct the bad image the Mutare industries have earned, in this study the researcher will
try to investigate if the proposed green marketing strategies has an effect on corporate image.
Another related research was done by Kusena, Shoko and Marambanyika (2013) the researchers
were investigating the benefits that may accrue to the community from the introduction of Sino
Cement in Gweru, they maintained that if properly co-ordinated, ecologically conscious mineral
exploitation for cement manufacturing can transform development in surrounding communities
through employment creation and infrastructural development. This current study unlike the
above will be broad, will focus on the benefits that may accrue to all cement industry corporate
image if green marketing strategies are implemented .Another Zimbabwean related research was
done by Nyahunzvi (2011) was trying to ascertain the level of green marketing awareness in the
tourism sector, the key finding of the study was that there were low levels of eco-literacy and
environmental awareness and consequently, limited green action undertaken by lodge managers.
It was also found that not a single tourist lodge had a formal written environmental policy whilst
the lodge managers expressed a need for the provision of information and education around
green tourism The weakness of the above research is too much emphasis on tangible benefits of
implementing green marketing strategies whereas this study focus on the intangible aspects
particularly corporate image.
The cement manufacturing sector in Zimbabwe is comprised of three international companies
namely Pretoria Portland Cement(PPC) based in Bulawayo, Lafarge Cements Zimbabwe based
in Harare and Sino Cement Zimbabwe based in Gweru thus resulting in an oligopoly market
structure ,The three cement manufactures has annual production capacity of 2 000 000 tonnes of
cement. Needless to say the sector is heavy industry manufacturing and it requires high finance
outlay and long term investment and planning thus as a result it is dominated by foreign
companies as follows PPC from South Africa, Lafarge from France, Sino –Zimbabwe from
China. Most of the produced cement is consumed locally and only 5% is exported, furthermore
about 85% of these companies customers are industrial and only 15% are individuals.
Cement production and distribution result in an intensive interaction of the corporates and the
environment, thus the need for them to mitigate the damage and disturbances the manufactures
17
are doing on both environment and the community at large that has led to degeneration of these
players’ corporate image. Sino-Zimbabwe was forced by Environmental Management Agency to
suspend its operations in 2013 due to massive environmental pollution (EMA, 2010). Such
incidences of high pollution might have effects on the social and economic wellbeing of the
surrounding communities Lafarge and PPC was fined by Harare city council and EMA in
November 2014 an excess of $500 000 at their quarry works for non-compliance with act.
An alarming exploratory survey carried out by the researcher further indicated that cement
customers had modified their behaviour, including their purchasing behaviour, due to
environmental reasons thus cement manufacturers risk losing out customers to upcoming foreign
suppliers practising green marketing , if their actions are not urgently aligned with green
marketing practises, Although the management of these three cement producers have attempted
to correct the dented image through a number public relations efforts like tree planting volunteer
working hours, donations and cleaning campaigns as in the case of Lafarge, plant upgrading for
example Sino cement has completed its $1.8 million end of 2014, Pretoria Portland cement has
embraced total quality management, and new plants installations from 2006 up to date, use of
alternative fuel namely Lafarge cement from 2010 up to now through use of saw-dust from
Selborn milling in Mutare for cement Kiln energy the image has not improved .The plan and
strategy that the cement manufactures has of late taken is to employee green marketing strategies
to correct the lost good corporate image.
1.2 Statement of the problem
The rise of an green enlightened customers and general populace led to the adoption of green
marketing not only in Zimbabwe but the world over, these concerns include, operations
disregard environmental concerns through air pollution mainly carbon dioxide emissions , dust
emissions affecting neighbouring communities, effluent discharge into water sources ,great
disturbances of the ecosystem by its quarries, and its non-biodegradable packing material air
pollution ,Land degradation through roads construction, used packing material littering, high
energy consumption of non-renewable fuel, noise pollution, failure to write side effects of
interacting with cement on packaging has marred their corporate image at a time the
18
Zimbabwean society in general and cement customers in particular are categorically demanding
business environmental responsibility as they are now more enlightened in this internet age and
adoption has been increased by the stringent provisions of the Environmental Management Act
of Zimbabwe (Chapter 20:27).
Sino Cement Zimbawe, Pretoria Portland Cement and Lafarge Cement manufacturers have
employed the following green marketing strategies, green purchasing, Eco-labelling, green
promotion and eco-production processes, effect on corporate image in cement manufacturing
sector
1.3 Conceptual Framework
Eco-labelling
Green promotions
Green marketing improved corporate image better shareholder value
Eco-cement production processes
Green purchasing
Fig 1.3 Conceptual framework
Source: Own creation
From the above diagram, Fig 1.3 Conceptual framework it can be argued that the achievement of
improved corporate image in the cement manufacturing sector can be possibly explained by
19
green marketing strategies particularly, Eco-labelling, green promotion, eco-production
processes and green purchasing. Corporates that practise green marketing are likely to be viewed
positively by customers resulting in a good corporate image.
1.4 Research objectives
a. To establish the effects of Eco-labelling on corporate image in the Zimbabwe cement industry.
b. To evaluate the effects of green promotion on the image of the cement manufacturing industry
c. To examine the extent eco- cement production processes affect corporate image
d. To ascertain the effect of green purchasing on corporates image of the cement manufacturing
1.5 Hypothesis
Ho=Eco-labelling does not lead to better corporate image improvement in the cement
manufacturing sector.
H1 =Eco-labelling lead to better corporate image improvement in the cement manufacturing
sector.
Ho = Green promotion effort does not result in improved image.
H2= Green promotion effort result in improved image
Ho =Eco- production processes does not affect image.
H3 =Eco- production processes affect image.
Ho = Green purchasing does not lead to better corporate image.
H4 = Green purchasing lead to better corporate image.
1.6 Significance of the study
20
To the researcher
Equipped the researcher with research and analytical skills as well as gaining knowledge and
insight into the cement manufacturing sector, green marketing strategies, corporate image
building and various related concepts.
Besides the research is for partially fulfilment of the requirements of The Master of Commerce:
Marketing Degree which the researcher is partaking
The cement manufacturers industry of Zimbabwe
Data collected from the research should reflect the true customer perception about green
marketing strategies and corporate image of the industry
The research can be a tool upon which relevant managers and policy makers mine information to
make decisions that will benefit the entire cement manufacturing industry.
Midlands State University
New knowledge shall be brought to the university adding variety to literature at the college
providing a source of information to other students
The research will help other researchers and academics who may be will to do further studies
related to green marketing or corporate image building.
The surrounding communities
Surrounding communities benefit from information that this research will avail to them as the
researcher intends to interview the community members of the public. As well as the appropriate
green marketing measures that will be employed because of this study.
1.7 Assumptions of the study
21
The researcher assume that the respondents are the most appropriate which are customers,
employees, managers, suppliers and publics and will supply the researchers with relevant
information willingly.
Researcher believe that the information from respondents like customers and managers who are
actually on the ground and are the decision makers respectively shall be free from bias that the
will give the researcher true feedback on how the green marketing strategies are being
implemented
Researcher also believe appropriate sample size that is 10% of the whole population of
customers and managers was used.
Researcher is also convinced that appropriate combination of sampling methods were chosen that
is simple random sampling and judgemental sampling.
Researcher also assume that the research instruments to be used are valid and reliable in this case
is going to use questionnaires and in-depth-interviews.
Researcher assume that the market and economic environment will not change considerably up
to the end of the research
1.8 Delimitations of the study
The research was carried in Zimbabwe cement manufacturing industry only particularly at
Lafarge Manresa plant in Harare, Sino Zimbabwe cement manufacturing plant in Gweru and
PPC cement plant in Bulawayo the respondents being managers according to their Human
Resources Departments and customers from data bases from their Sales departments of Lafarge,
PPC and Sino cements .
Thus the study restricted itself to the study of the effect of green marketing strategies on
corporate image in Zimbabwe cement manufacturing, particularly the following strategies green
marketing strategies, Eco-cement production processes ,Green purchasing, Eco-labelling and
Green promotion and will not look at other minor strategies like eco-branding.
The study will cover the period between November 2014 to 16 April 2015 and
The study will make use secondary data sources generated between 2000 and 2015
22
1.9 Limitations of the study
Low response rate however the researcher make a follow up to all respondents through the phone
and personal visits
Another issue was the need for confidentiality on the information collected the researcher
assured the respondents on both the questionnaire and before interviews that the acquired
information was for academic purposes only and their names will not be disclosed.
Unavailability of respondents, the researcher made appointments before visiting
1.10 Definition of Terms and abbreviations
Definitions of terms
Greenhouse effect -The trapping of the sun's warmth in a planet's lower atmosphere,
Effectiveness- the degree to which something is successful in producing a desired result;
success.
Oligopoly-A situation in which a particular market is controlled by a small group of
firms. .
Customer satisfaction -I is a measure of how products and services supplied by a
company meet or surpass customer expectation.
Eco-label criteria guarantee that a given product or service is fit for use, and will have a
reduced environmental impact throughout its life cycle
Scarcity -the state of being scarce or in short supply; shortage.
Ecosystem a biological community of interacting organisms and their physical
environment
The ozone layer or ozone shield- refers to a region of earth's stratosphere that absorbs
most of the sun's UV radiation.
Green washing-the act of misleading consumers regarding the environmental practices of
a company or the environmental benefits of a product or service.
Quality control-a system of maintaining standards in manufactured products by testing a
sample of the output against the specification.
23
Green Purchase Intention is defined as the probability and desire of a person to
preference and has intention to buy organic products eco-friendly
Abbreviations
SAZ -Standards Association of Zimbabwe
PMO-Plant Operating Model
RCA-Root Cause Analysis
IRO-return on investment
ISO- international standards organisation
EMA-Environmental management agency
UV-Ultra -violet
1.11 Chapter Summary
The chapter introduced brief background of the study thus gave a thorough background to the
study, statement of the problem, conceptional framework, objectives, research question
hypothesis, and, delimitations, limitations and definition of the terms ,
The researcher will now look at the chapter 2 Literature review which is virtually an analysis of
other authors and researchers’ written work on the study topic whose aim is to evaluate the effect
of green marketing strategies on corporate image in Zimbabwe cement manufacturing Industry.
CHAPTER 2
24
LITERATURE REVIEW
2.0 Introduction
In this chapter the researcher made a closer look on available literature from a number of authors
regarding green marketing and resultant strategies as well as corporate image. The chapter begins
with analysis of green marketing and corporate image determinants, then further goes to explore
green purchasing, eco -labelling, eco-friendly production processes, green promotion, as the
employed green marketing strategies, in the process linking them to corporate image in the
cement manufacturing industry. As a result the researcher was able to n come up with
appropriate research questions and a broader view of what other researchers and academics think
about green marketing strategies and corporate image.
2.1 Corporate image
Frunan (2010) outlined corporate image as net results of knowledge, beliefs, ideas, feelings and
impressions about an organisation. Melewar (2012) further explained that corporate image is
inherently a composite product of various factors which reflect and communicate the ideas of an
organisation, he went on to say corporate image is often used interchangeably with corporate
reputation and corporate identity. In confirmation Veljkovic and Perovic (2011) said corporate
image is the result of everything a company does it is determined by all company activities in the
domain of products and services, behaviour and attitudes, corporate culture, ecologically
accepted behaviour and socially responsible business practises and corporate communication The
term corporate image is often used to refer to an organization’s views about external
stakeholders’ perceptions with respect to an organization Davies (2012)in support Brown (2013)
refer to this as the construed image. Construed image encompasses all the associations that
internal organizational members have about external stakeholders’ perceptions of the
organization. It asks the question “What does the organization believe others think of the
organization?” Brown (2011).
Corporate image focuses on the “outside world's overall impression of the company including
the views of customers, shareholders, the media, the general public according to Hatch &
Schultz, (2013) in support Nasser (2012) indicated that corporate image is an important
component of customer satisfaction. Image is a result of adding good reputation to its customers,
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being reliable, having contributions to society and being professional and inventive further
Nasser (2012) points out that the fundamental image of the organization applies to the type of
association customers get from the service organization and the brand name.
Veljkovic and Perovic (2011) went on to come up with elements of corporate image he said it is
formed on the basis of its history, beliefs business philosophy, ownership ,structure, the people
that make the company, ethical and cultural value system, furthermore the two researchers went
on to, say in building corporate image management should approach the issue of conceiving
and managing tangible components that influence the formation of image for example products
and services offered, their attributes, and benefits and intangible attributes that are becoming
increasingly important in the process of differentiation from competition and the building of a
distinguish corporate image for example service during and after sales ,loyalty programs, design
and packaging. Boucher (2014) went further to say the concept corporate image should draw the
company’s attention to the way in which it is perceived in the market, no matter how much or
how well the company seeks to influence this, its image on the market usually never corresponds
with the ideal as the managers wants it to be and as the employees perceive it. Therefore, the
following concept might be useful, but as mentioned, it can be difficult to group corporate image
various perception. However Boucher (2011) had a narrow view of corporate image defining it
as how the company is perceived by the market it depends on good will, rumours and reputation.
It is clear corporate image is what the publics is supposed to see when the corporation is
mentioned, a sum total of impressions left on the company's many publics.
2.1.1 Corporate image success factors
It has been cited in literature, that corporate image is affected by many factors. Personal
reputation affects corporate image according to Musteen (2012).The reputation of the leader,
management or the owner also affects the image of an organization. Many studies have
highlighted the importance of the leader’s reputation in determining the image of an organization
to the extent that the leader can account for up to 48% of the organization’s image Gaines-Ross,
(2013). This is beneficial for those organizations that are not competitive enough which gain
from a good industry image as supported by Mahon (2012). Finally, the reputation of a country
also affects corporate image. This includes the effect of country-of-origin on the reputation of
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corporations Mahon, (2011). Corporate images are self-validating in the sense that beliefs
derived from one source are confirmed by other sources. This evaluation could be based on
stakeholder’s direct experiences with a company and other forms of communication and symbols
from a company from other people and objects.
2.1.2 Elements of corporate image
Corporate image elements are many however Gray and Balmer,(2012) cited organizational ethics
,financial performance ,shareholder value ,corporate branding activities ,marketing mix activities
,public relations ,relationships with stakeholders. Kim and lee (2010), postulated his own
elements saying “Organizations increasingly recognize the importance of corporate image to
achieve their goals and stay competitive and, the majority have employed predicator variables of
corporate image including customer satisfaction, service quality, value awareness, role of
management, creation of value, and customer service value, awareness of company products,
perception about culture and general expectations”. Nguyen (2010) also created five factors of
corporate image that include corporate identity, reputation, service offering, (4) physical
environment, and contact personnel.
In contrast Veljković and Petrović, (2011) came up with following as the most important
elements of corporate image: products and/or services for example attributes and benefits for
consumers, quality and innovativeness ,people and relations -company orientation toward
consumers/ stakeholders, values and programs -ecological responsibility and social responsibility
,corporate credibility -expertise, trust and general public approval
Most scholars agree that corporate image is as a collective construct that describes the aggregate
perception of multiple stakeholders about a company’s performance, and can be measured and
described using the following personality’ dimensions; integrity, quality, imagination ,reliability,
service, social responsibility, technical innovation and value for money.
2.2 Green marketing strategies
Prakash, (2012, p. 285) referred green marketing as, “the strategies to promote products by
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employing environmental claims either about their attributes or about the systems, policies, and
processes of the firms that manufacture or sell them in addition ”.in addition Peattie (2010)
explained green marketing in terms of customer satisfaction in a sustainable fashion which he
refers to as ‘the holistic management process responsible for identifying, anticipating, and
satisfying the requirements of the consumers and society, in a profitable and sustainable way’, it
implies that organizations need to determine the needs of target markets and to deliver the
desired satisfactions in a way that enhances the consumers and the society’s wellbeing ,more so
Polansky (2010) described it as consisting of all activities designed to generate and facilitate any
exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and
wants occurs, with minimal detrimental impact on the natural environment. Charter (2013), adds
a strategic dimension to green marketing strategies and stressed the importance of a long term
perspective and the role played by stakeholders and outlined green marketing is a holistic and
responsible strategic management process that identified, anticipates, satisfies and fulfil
stakeholder needs, for reasonable reward, that does not adversely affect human or natural
environmental well- being’.
A more encompassing description of green marketing strategies was suggested by Kangis (2011)
as he postulated that green marketing must be more than either a green way of marketing, or the
marketing of so-called green products. “Green‟ indicates both to the method and to the product.
In conclusion Haery et al (2013) suggested that it has become imperative that consumers around
the world has become green conscious hence he need to differentiate products basing on their
greenness will give companies in the cement manufacturing industry corporate image mileage.
It can be observed that green marketing is driven by the need for business sustainability and that
there are a number of strategies the implementer may choose from depending on the sector and
circumstances prevailing in the company and or industry
2.2.1 Forms of Green marketing strategies
2.2.1.1 Eco –labelling Strategy
Bruce and Laroiya (2010) described an eco-label as a claim made by a firm, affirming that ‘it has
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employed environmentally-sensitive production or distribution methods’. It is an approach to
environmental certification practiced around the world and is developed by governments,
manufacturers, and third-company organizations independently. A product that meets or qualifies
a wide range of environmental performance criteria or standards is recognized by an eco-label. In
support Kovavela (2013) referred eco-labelling as certification of environmental product and
services Eco labelling can be based on two types of criteria: product related, and production-
related. Product related criteria are related to the environmental impact of products only.
Production-related criteria are related to process and production methods (PPMs) which cover
the environmental impact of an entire production process. In support Global Eco labelling
Network (2014), outlined an eco-label as a label which identifies overall environmental
preference of a product or service within a product category based on life cycle considerations.
Bruce & Laroiya, (2013) further elaborated that Eco-labels can be a proof used by a firm to
inform and show their customers that it has employed environmentally sensitive production or
distribution methods. Montes & Shimshack, (2011) suggested that Eco-labels signal to
consumers the environmental attributes of a product. The goal of eco-labels is to provide easily
interpretable information, and thereby elicit increased demand for products perceived as
environmentally favourable
It must be noted that according to United Nation Office for Project Services, (2010) contrary to
an eco-label, a self-styled environmental symbol or a claim label is developed by a manufacturer
for its product whereas the Eco label is granted by an independent third party, and not influenced
by the company who seeks certification .As has been identified by the International Organization
for Standardization (ISO)(2012)the overall goal of these labels and declarations is: "...through
communication of verifiable and accurate information, that is not misleading, on environmental
aspects of products and services, to encourage the demand for and supply of those products and
services that cause less stress on the environment, thereby stimulating the potential for market-
driven continuous environmental improvement".
In contrast Smith (2012) suggested that a wide range of eco-labels that exist today has, in fact,
increased confusion among consumers and potential users faced with numerous choices without
having the ability or knowledge to differentiate. A particular challenge for producers is the choice
of label when there are several of the same type, or when they export to markets where different
labels are popular (this is often the case). In addition Barber (2010) suggested that to further
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complicate the picture, producers contemplating adoption of eco-labels usually have to bear the
entire financial burden of employing more responsible practices, including certification costs
which can be very high depending on the stringency of the eco-label. The uptake of eco-label
schemes can be very slow in such cases, thus limiting the success of the scheme.
It clear that, eco-label schemes do not operate in a vacuum and their effectiveness can be
increased if other forces come into action i.e. green purchasing, eco-production and green
promotion
2.2.1.2 Types of eco -labels
Worldwide, there are numerous labelling programmes, developed by businesses, government
agencies and non-governmental organisations. Each label has its own criteria that products need
to meet in order to be certified according to Smith (2012) basically there are two types of eco
labels, voluntary and mandatory
2.2.1.2.1 Mandatory eco labels
Are required by law and authority and include
Comparative labels
Graham & Fagotto, (2014) outlined that comparative labels take a given product, such as a
refrigerator, and show how efficient that product is in comparison with other similar products.
Normally A or A* is the most efficient level of the scale and G is the worst. In support Montes &
Shimshack, (2011) postulated that to qualify for the label, products must meet efficiency
standards, e.g. for energy or water use, that are generally administered by a national authority
Production labels
Assess the method of production such as the various organic labels used in areas of food
production as suggested by Laplante, & Maxwell, (2011) .Organic labels indicate how food has
been produced and these labels are generally legally established and set standards for the
methods used to control pests and for the treatment of livestock. Most organic labels exclude
products from genetically modified crops. Organic labels are also applied to textile production
30
and some personal care products.in support Graham & Fagotto,(2013) suggested that some
production labels are sector- specific (such as for textiles) and may extend to how the company is
managed and service provision (such as for labelling of ‘green hotels’). Environmental
management system (EMS) standards (i.e. ISO 14001) however, do not indicate that the product
meets an environmental standard but only refer to the management practices of the company.
End-of-life labels
Focus on a particular issue such as recycled content or the ability to recover or recycle resources
at the end of life of a product (such as packaging, electronic and electrical products, and cars)
according to Delmas, Montes, & Shimshack, (2013). Jin & Leslie, 2003 also suggested that
Labels for offsetting carbon emissions indicate that carbon dioxide emissions due to energy
consumption have been reduced through energy efficiency practices or through purchasing so-
called ‘green energy’. Remaining emissions are offset through investment in forest regeneration
and/or alternative-energy projects.
Comprehensive labels
Are generally based on life cycle assessments and attempt to evaluate the overall environmental
impact of a product or service against a set of comprehensive pre-established criteria Khanna, as
outlined by Quinui, & Bojilova (2011);. Because of stringent criteria, comprehensive labels
enjoy high credibility but can also have a slow uptake due to lengthy procedures for selecting
priority product groups and developing, agreeing and updating criteria. European experience
shows that comprehensive labels can be restricted to the top 10–30% of products in a product
group as postulated by Konar & Cohen, (2012).
2.2.1.2.2 Voluntary labels
These are not a law requirement and include
Type I
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Composed of independent and reliable labels that consider the lifecycle impact of products and
services. Rao (2014) emphasised that Eco-labels are based on serious criteria of environmental
quality, and they guarantee that the awarded products respect the highest environmental standard
in that market segment according to Grunert (2011) The criteria is usually developed through the
involvement of a large number of stakeholders and awarded after an independent process of
verification.Thidell (2011) further supported this outlining it as a voluntary, multi-criteria-based
third party program that awards a license which authorizes the user of environmental labels on
products indicating overall environmental prefer ability of a product within a particular product
category based on life cycle considerations.
Type II:
According Khan et al (2012) for labels belonging to this group do not share some of the usual
characteristics of environmental labels; the main difference is that an independent authority does
not award them. Companies develop these labels internally, and they can take the form of a
declaration, a logo, a commercial, etc. referring to one of the company products. Orange
(2010).explained it as self-declared environmental claims companies will turn to third parties or
participate in certification programs to bolster these claims or to avoid having to release
proprietary information publicly.
Type III:
Consist in qualified product information based on life cycle impacts as referred to by Awan
(2011). A qualified third party sets environmental criteria, then companies compile
environmental information into the reporting format and these data are independently checked.
The environmental impacts are expressed in a way that makes it very easy to compare with
different products and sets of parameters, for example for public procurement purposes. These
labels do not assess or weight the environmental performance of the products they describe. This
type of environmental labels only shows the objective data, and their evaluation is left to the
buyer. Shil (2012) further suggested that Type III provide quantitative life cycle environmental
data in a more extensive report format and they are not considered further here.
2.2.1.3 Effect of Eco -labels on corporate image
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The objective of eco- labels is to reduce information asymmetry between the producer of green
products and consumers by providing credible information related to the environmental attributes
of the product and to signal that the producer of the label is superior in this regard to a non-
labelled product or company which in turn has a positive impact on corporate image according to
Crespi & Marette, (2011).In addition United Nation Office for Project Services, (2010) had this
to say to be trustworthy and thus enhance corporate image .Biswa (2014) adds that eco-labels
trigger inquisition from environmental conscious consumers to opt for environmental friendly
corporates based on the signs and or symbols on the product, In addition Raza (2010) add that
companies can use eco-labels to communicate the benefits dangers of their product and build
customer trust which is an essential element of corporate image.
2.2.2.1 Green promotion strategy
Green promotion is an activity of promoting products as having characteristics that do not harm
the natural environment Polonsky (2010). In support Scholossberg (2011) as quoted by Polonsky
(2010) suggested that green promotion helps consumers to overcome the “greatest environmental
hazard”, that is, the lack of environmental information. Scholossberg`s sentiments are shared by
Ottman (2010) and Zint and Frederick (2012) who argue that green companies should not
assume that consumers are knowledgeable about environmental issues or actions they engage in.
In addition Bauer (2013) in Quirke (2011) argues that green promotion is an ever ending process
and its goal should be to share the thinking and not announcing conclusions. Benerjee (2010)
went further to say green promotion should meet one or more of the following criteria: explicitly
or implicitly addresses the relation between a product/service and the bio-physical environment,
promotes a green lifestyle with or without highlighting a product/service, presents a corporate
image of environmental responsibility. Moreover, a company should develop an integrated
communication approach which includes ‘Special Incorporation’ and ‘Special Product’ aspects
regarding environmental issues and social responsibilities. Soonthonsmai, (2012) in addition
came up with the issue of green washing suggesting that company’s applied strategies and
slogans should be based on researches and correct information must be relevantly and
continuously shared with customers and other beneficiaries. In addition, companies ought to be
cautious and alert about whatever slogan or communication that might seem exaggerated.
33
Consumers, pressure groups and media are considered as important addressees. Sandstorm and
Tingstrom, (2011) further highlighted the issue saying if slogans are not correct or even are not
studied enough, advertisement would be followed by negative and reserved results. Ambitious
and ambiguous advertisements or even slogans which lack a sense of synergy with a product or
company would put customer perceptions at risk .Needless to say promoting a green message
successfully can therefore prove challenging as Ottman (2010) argues that environmentally
oriented communications work best when green product attributes are obvious, legitimate, and
meaningful to a sizeable number of consumers, a product’s environmental benefits are tangible
and can be clearly and simply communicated and product-related efforts are reinforced by
substantive corporate progress.
It’s quite apparent that green promotion means transferring actual environmental information to
those consumers who are involved in a company’s activities.
2.2.2.2 Ways to implement green promotion strategies
A number of green promotion strategies that would lessen the gap on environmental information
through promotion and also thus help corporate image, include:
Educate customers on the environmental problems that a green product solves. Customer
education is the extent to which employees equip customers with abilities and skills to critically
utilize the information about organization services or products Kotler and Keller (2010) ,in
support Eisingerich and Bell (2011) posits that organizations that provide understandably clear
information are trusted by customers. Research shows that if customers learn how to effectively
execute service related function the organization production will be increased Zeithaml (2012).
In addition Kotler and Keller (2010) noted that customer education creates value for both the
organization and the customers.
Empower consumers with solutions by demonstrating to consumers how environmentally sound
products and services can help consumers protect health, preserve the environment for future
generations, according to Ottman (2010).
Provide performance reassurance of green-based products, as many consumers perceive them to
be inferior to conventional products. Consider a suitable mix of media. For instance
environmental consumers are more receptive to messages conveyed through direct marketing,
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community programs, public relations, and packaging appeal to consumer self-interest by
bringing out the benefits of green products to both actual consumers and potential consumers as
is supported by Lasson(2011)
Establish Internal Promotion Research which is an important management function since every
employee should receive information concerning their jobs, fostering an atmosphere in which all
people in the organization respect each other in a working relationship according to Bauer
(2013). In support Steingrimsdottir (2011) argues that internal communication is the social glue
in an organization that ties people together.
Customer expectations should be aligned to the form of communication within the organization
across all functions be it horizontal, lateral, grapevine and vertical .To support the above Quirke
(2012) proposed that communication tools proved to be important in implementing internal
promotion include use of displays, bulletin-boards, internal subjective meetings and inserts and
enclosures.
2.2.2.3 Green Promotional tools
These include green advertising to let the consumers know they are also responsible to the
environment but green advertising should not mislead the consumers Pranee, (2010),the
researcher went on and included the relationship of the product and the environment to promote
the lifestyle of using green products .In support Conolly and Prothero, (2013) suggested that
there are various dimensions in green advertising: One is education-focused which aims to
enhance consumers‟ understanding towards the nature and environment; another is commercial-
focused which is designed to increase the sales of products or services. Zinkhan & Carlson
(2010) refered green advertising as the appeals that try to fulfil consumers‟ needs and aspiration
regarding to environmental concern and health issues from different perspectives including
ecology, sustainability, and pollution-free messages. In contrast Pfanner, (2012) postulated that
though green advertising have been widely recognized and accepted, the credibility, validity, and
benefits of green advertising are somewhat controversial due to the use of false green claim,
exaggerate and lurid language and ambiguous information This was also supported by Zeithaml
& Parasuraman (2013) as they outlined that consumer’s desired level of service, adequate level
of service and zone of tolerance can be modified by advertising. In addition Kurtz (2012) agrees
with Jobber (2014) who proposes that through green promotion channels such as public relations,
35
advertising, sales promotion and personal selling, green promises are made.
2.2.2.4 Effects of green promotion on corporate image
Menon,(2011) expressed great concern about the need for improvement and enhancement of
firms` green corporate image through green promotion in order to generate long-term customer
loyalty in addition Abd-lam (2013) emphasized that, corporate image is a result of
communication process in which the organizations create and spread a specific message that
constitutes their strategic intent mission, vision, goals and identity that reflects their core values
that they cherish in furthermore Easterling et al., (2010) Polonsky (2013) suggested that
customers form predicted level of service and corporate image for a particular organization
through promises made in green adverts and sales promotions, to support It is the task of the
marketer to redirect the needs of the consumer towards consumption that is ecologically least
harmful. This redirection can be achieved through green promotion. Benerjee (2010) went
further to say green promotion should meet one or more of the following criteria: explicitly or
implicitly addresses the relation between a product/service and the bio-physical environment,
promotes a green lifestyle with or without highlighting a product/service, presents a corporate
image of environmental responsibility ,In support Polonsky (2013) emphasised that the fact that
marketing during the past few decades has been so successful in increasing societal consumption
and in meeting human needs, make us confident that it will also be successful in redirecting
image perception through interaction with consumers, the media, journalists, labor unions,
industrial associations, environmental organizations, and other entities that have a direct and
indirect impact on public opinion.
2.2.3.1 Eco –production processes strategy
Melnyk and Smith (2012) out lined eco –production processes as a system that integrates
product and process design issues with issues of manufacturing planning and control in such a
manner as to identify, quantify, assess, and manage the flow of environmental waste with the
36
goal of reducing and ultimately minimizing environmental impact while also trying to maximize
resource efficiency ,Shiino (2011) further elaborated eco –production processes globally as the
manufacturing aiming at the symbiosis with the global environment whereas Guo & Yamamoto
(2014) put in the essence of sustainability by defining eco –production processes as an
advanced manufacturing model to realize the sustainable development of industries. Also
Sangwan (2010) in support of the sustainability aspect suggested that eco –production processes
is the embodiment of the sustainable development strategy and the cycle economy mode in
modern manufacturing furthermore Polcari (2010) took a comprehensive stance by describing it
as making a comprehensive commitment to environmentally benign practices across the
spectrum of the manufacturing process. Lund, (2012) factored in the aspect of green purchasing
to eco –production processes by defining green production as production processes which use
inputs with relatively low environmental impacts, which are highly efficient, and which generate
little or no waste or pollution
Saha & Darnton, (2011) gave green production an economic objectivity by referring eco –
production processes as “the application of environmentally and socially sensitive practices to
reduce the negative impact of manufacturing activities while, at the same time, harmonising the
pursuit of economic benefits”. Taking a step further Rao, (2014) suggested four frameworks
commonly used by the industry while greening of production in their factories. These include
Cleaner production, Eco-efficiency, Lean production and Total quality environment management.
However Kleindorfer (2011) suggested that more mainstream operations management
community still lacks, however, a cohesive understanding of green production. While those
within the sustainability community may be fully conversant with the interpretations, ideas, and
methods associated with Green, this is not necessarily the case with those practitioners and
researchers from more mainstream production operations management.
It is evident that eco-production processes is a manufacturing mode designed to minimize the
environmental impact in the manufacturing processes of products thus a modern manufacturing
mode considering both the environmental impact and the resource consumption during the whole
product life cycle, from design, fabrication, packaging, transportation, usage, recycling, to waste
disposal, and its objective is to minimise the negative environmental impacts and maximise the
37
utilization rate of resource, and harmonize optimization of economic benefit and social benefit
with the maximum integrated benefit.
2.2.3.2 Elements of eco- production processes
Green Packaging characteristics such as size, shape, and materials have an impact on distribution
because of their effect on the transport characteristics of the product. In the waste disposal
process, a company must comply with regulations regarding collection and disposal of hazardous
,eliminate unnecessary Packaging .Kamal (2012) supported this saying packaging has become an
environmental issue for marketing for a number of reasons: • Packaging is a major component of
domestic waste and therefore an important contribution to landfill, discarded packaging is very
visible as litter, packaging reduction initiatives can reduce the environmental impact of a product
while also saving companies money. Retailers also play a role in reducing packaging waste by
encouraging suppliers to minimize excess packaging or offering customers “shopping bags for
life” to reduce the volume of plastic bags.
Kamal (2012) supported the importance of product design suggesting that there are a wide
variety of products that support sustainable development and demonstrate commitment to green
marketing, including, products made from recycled goods, products that can be recycled or
reused; Products with environmentally responsible packaging, organic products; services that
rent or loan products-such as car sharing; products that meet or exceed environmentally
responsible criteria. Whatever the product or service, it is vital to ensure that products meet or
exceed the quality expectations of customers and are thoroughly tested. The aim is to develop an
understanding of how design decisions affect a product’s environmental capability and have
definite potential to become eco-friendly towards product re-manufacturing. And finally,
Kamble, (2010) suggested that considering ecological goals while designing products leads to
reduced pollution and the consumption of resources and to enhanced preservation of rare
resources at the same time. A green product helps the preservation and improvement of the
natural environment along with preserving energy and other resources and reducing or
eliminating the use of poisonous substances, pollutant and wastes, simultaneously. Lassner and
Schubert, (2011) supported the above in other words saying, a green product is a product that
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does less damage to the environment and is obtained from repairing, re-making, and reproducing,
re-using, recycling and reducing processes. Kamble, (2010) went further and formulated, green
and stable characteristics of products and services are as follow, designed to meet the actual
needs of mankind, would not be harmful to man’s health, are green all through their life-cycles
Ho, (2012) also come up with lean production as an eco-production strategies, Lean
manufacturing, which is simply known as Lean, because it is a competitive practice that reduces
costs, improves environment and quality, and improve corporate image. Lean manufacturing is
aimed at the elimination of waste in every area of manufacturing In support of eco- production
processes in Support Rao, (2014) included lean production among four frameworks commonly
used by the industry while greening of production in their factories,these include cleaner
production, eco-efficiency, lean production and Total quality environment management.
Reduction of energy consumption is another eco –production process of paramount importance
Lukman (2012) stressed this by describing the strategy as a modern manufacturing mode that
takes into consideration resource consumption and the environmental impact sustainable
production in creating goods by using processes and systems that are non-polluting, that
conserve energy and natural resources in economically viable, safe and healthy ways for
employees, communities, and consumers and which are socially and creatively rewarding for all
stakeholders.
2.2.3.3 Effects of eco- production processes on corporate image.
Eco–production affects corporate image in a number of ways, Bari (2012) suggested that
corporates can improve their image using the following eco- production strategies developing
environmental and technical standards for purchasing machinery, equipment and instruments
using advanced technologies for optimizing energy consumption, training right consumption
patterns of energy and reduction of energy consumption
According to Frosch & Gallopoulos, (2011) production systems, that supply the growing demand
for goods, are linked to adverse environment impacts,for example, as developing countries such
as Zimbabwe enjoy the benefits of lifestyles close to those of the western societies, the impact of
human activities is estimated to rise ten-fold by 2050 negatively impacting the environment and
39
concerned corporates images, thus Lisney, Riley & Banks,( 2011)supported the above authors by
suggesting that urgent measures are needed to be taken to achieve a pivotal change in the way
society in general, and industry in particular, manages natural resources
Product design is a critical determinant of corporate environmental impact. In fact, it has been
estimated that a full 75% of all the environmental impact a product throws off during its lifetime
is determined at the design stage, the purview of manufacturers
Green production according to Ninlawan (2010) can lead to lower raw material costs, production
efficiency gains, reduced environmental and occupational safety expenses, and improved
corporate image as it includes hazardous substance control, energy-efficient technology and
waste minimization ,to support the above Srivastava, (2011) suggested that green production can
benefit your manufacturing company in many ways, not only it will benefit the environment, but
it will impact your consumer, the shareholders, and the company perception in the market thus
have a positive effect on corporate image. Eco -production is one of the universally implemented
green marketing strategies. It is also an integral component of international conventions and
protocols such as the Kyoto Protocol and United Nations Framework Convention to Climate
Change aimed at stabilization of greenhouse gases according to Kusena (2014)
2.2.4.1 Green purchasing strategy
Rao, (2014) described green purchasing as an environmental purchasing consisting of
involvement in activities that include the reduction, reuse and recycling of materials in the
process of purchasing thus concept of acquiring a selection of products and services that
minimizes environmental impact it is referred to is the practice of companies taking supplier
environmental product and process performance into account when purchasing products and
service. In addition Zsidisin and Siferd (2012) referred green purchasing as a set of principles,
methods under premise of full considering the impact on the environment. Carter (2013) further
emphasised the above by stating that in order to facilitate reusing and recycling resource
reduction, the purchasing department should participate in every activities of supply chain
management and should more concretely purchase reused, recycled materials so as to reduce the
use of resources as much as possible.
In support Turner (2010) emphasised the importance of green purchasing and pointed out that the
40
potential aim of green procurement is to eliminate waste, and purchasing department should
focus on value by comprehensive considering the total cost in the process of eliminating waste
which should focus on the business of waste disposal activities. Usually, it can save more cost in
the source of supply chain to prevent waste than at the end of supply chain. Purchasing activity is
the key starting point of eliminating waste, so a key factor of the successful green purchasing is
the condition of company recycling and reusing waste. However Galle (2013) suggested two
most highly rated obstacles to effective implementing green purchasing was cost and revenue. In
the process of implementing green procurement, the enterprise is bound to increase investment,
training staff costs and the communication costs with suppliers ,this is supported by Liu Bin,
(2011) who suggested that the costs causes the loss of other investment opportunities.
Therefore from the above discussion it can be observed that green purchasing green includes the
acquisition of recycled content products, environmentally preferable products and services, bio-
based products, energy- and water-efficient products, alternative fuel vehicles, products using
renewable energy, and alternatives to hazardous or toxic chemicals.
2.2.4.2 Green purchasing dimensions
These include the following among others:
Purchase materials or parts only from “Green Partners” who satisfy green partner environmental
quality standards and pass an audit process in following regulations for the environment-related
substances Purchase products that have environmentally-friendly attributes recycled materials,
non-toxic ingredients as suggested by Shah (2010)
Stock (2012) linked green purchasing and corporate image suggesting that that green purchasing
can improve a firm's economic position, by reducing disposal and liability costs, conserving
resources, and improving an organization's public image ,the researcher went further to outline
measures to improve corporate image as follows developing environmental and technical
standards for purchasing raw materials ,providing design specification to suppliers cooperation
with suppliers for environmental objectives ,environmental audit for suppliers ,controlling
Suppliers’ ISO14000 certification
41
Turner (2010) in emphasising the importance of green purchasing pointed out that the potential
aim of green procurement is to eliminate waste, and purchasing department will focus on value
by comprehensive considering the total cost in the process of eliminating waste ,which should
focus on the business of waste disposal activities
Carter (2013) suggested reusing and recycling resource reduction, and further advocated that the
purchasing department should participate in every activities of supply chain management and
should more concretely purchase reused, recycled materials so as to reduce the use of resources
as much as possible this require suppliers to implement and maintain an Environmental
Management System Require suppliers to have an EMS that meets recognized standards (such as
EMAS, ISO 14001, Responsible Care, etc.).
Product stewardship as a green purchasing dimension as suggested by Morwitz & Schmittlein,
(2011) means active management of all aspects of the product from raw materials to final
disposal it is very important to note that the use of environmental management standards is not
necessarily going to significantly improve supplier environmental performance. This depends on
the standard being applied.
2.2.4.2 Effect of Green purchasing on corporate image
Morton (2010) concluded that purchasers and supply chain managers can justifiably argue that
corporate image is enhanced through environmental purchasing practice since it demonstrates to
a wide audience that the organisation is engaged with the consequences of its operations and
activities. It is saying that an organisation is looking beyond the ‘factory gate’ to the impacts of
its products and services on the wider community. It is also saying that an organisation is
interested in these impacts over time, ultimately from ‘cradle to grave’, rather than only during
their immediate use. Morwitz & Schmittlein, (2011) supported the above authors saying in other
words, consumers are likely to purchase the products made by companies with good corporate
images if the features of products are the same
Stock (2012) linked green purchasing and corporate image suggesting that that green purchasing
can improve a firm's economic position, by reducing disposal and liability costs, conserving
resources, and improving an organization's public image ,the researcher went further to outline
42
measures to improve corporate image as follows; developing environmental and technical
standards for purchasing raw materials providing design specification to suppliers cooperation
with suppliers for environmental objectives environmental audit for suppliers controlling
Suppliers’ ISO14000 certification
It can be observed that the success of green purchasing as strategy depends on mutual
understanding and corporation and collaboration work with suppliers to help them reduce
environmental impacts through changes in product design and materials use.
2.2.5 Effect of green marketing strategies on corporate image
It is clear that that in both consumer and industrial market, green marketing inclination was the
main conditions of gaining the customer trust which is an essential builder of corporate image
according to Stock (2012) and supported by Weifang and Yuelei, (2012. Organizations
increasingly recognize the importance of corporate image to achieve their goals and stay
competitive as advocated by Kim and Lee, (2010).
Global market demands and governmental pressures are pushing businesses to become more
sustainable Fortes, (2010).new products designed with the environment in mind can excite
employees, suppliers and other stakeholders, creating a buzz that signals corporate responsibility
and corporate image. Consumers are demanding more transparency on environmental issues, as
well as on social ones such as labour conditions, and there are benefits to companies with a
positive story to tell and eco-friendly production is one such story in support Nahas (2013)
suggested that corporate image goes hand in hand with customer satisfaction which can be
brought about by green marketing strategies and it is a very critical aspect in the success of any
organisation Kumar and Rahamanin (2011) in research concerning the green marketing
adaptation to changing global climate also emphasised that companies are redefining their
marketing mix in the context of changing global climate making green marketing strategies a
necessity rather than an option as failure to make effort in the context of changing global climate
works negatively on corporate image
Stock (2012) linked green purchasing and corporate image suggesting that that green purchasing
43
can improve a firm's economic position, by reducing disposal and liability costs, conserving
resources, and improving an organization's public image in support in addition Ninlawan (2010)
suggested Green production can lead to lower raw material costs, production efficiency gains,
reduced environmental and occupational safety expenses, and improved corporate image as it
includes hazardous substance control, energy-efficient technology and waste minimization.
Easterling (2014) suggested that customers form predicted level of service and corporate image
for a particular organization through promises made in green adverts and sales promotions last
but not least Bruce & Laroiya, (2011) further elaborated that Eco-labels can be a proof used by a
firm to inform and show their customers that it has employed environmentally sensitive
production or distribution methods .
According to Kusena (2014) the primary goal of eco production is pollution prevention by
eliminating or reducing waste or emissions generating streams/processes in industrial operations
while increasing the organization’s profit margin.it can also produces a better air quality for the
employees and the community. Better air quality may be one of the biggest benefits of going
green and can add points to one`s corporate image.
It can be deduced from the discussions above that green marketing strategies have a role to play
in so far as corporate image is concerned ,with the public awareness surrounding going green, it
is also important to go green to keep your manufacturing company corporate image intact.
2.4 Summary of Chapter
This chapter reviewed literature on green marketing strategies and corporate image having
discussed by other writers. The major review and observations were focused on green
purchasing, eco-labelling, green promotion and eco-production processes, the next chapter
covers research Methodology.
CHAPTER 3
RESEARCH METHODOLOGY
3.0 Introduction
44
This chapter explained the research design, methods and techniques of data collection that the
researcher employed in this study. In this chapter the researcher examined the sampling
procedure, describe the population and sample size as well as discussing the sampling techniques
used and justify the use of such techniques. It is in this chapter where the researcher gave detail
of how data gathered is going to be presented and analysed to enable generation of meaning from
the findings pertaining to green marketing strategies effect on corporate image in the cement
manufacturing industry of Zimbabwe.
3.1 Research philosophy
Research philosophy is a belief about the way in which data about a phenomenon should be
gathered analysed and used thus the researcher opted for pragmatism guidance, a philosophical
tradition that began in the United States around 1870. Pragmatism is a rejection of the idea that
the function of thought is to describe, represent, or mirror reality, instead, pragmatists develop
their philosophy around the idea that the function of thought is as an instrument or tool for
prediction, action, and problem solving. Pragmatists contend that most philosophical topics such
as the nature of knowledge, language, concepts, meaning, belief, and science are all best viewed
in terms of their practical uses and successes rather than in terms of representative accuracy.
Pragmatism enabled the researcher to apply mixed methods research in that inquirers draw
liberally from both quantitative and qualitative assumptions when they engage in their research,
it also helps the researcher because it does not rely on one method and it identifies the best way
of doing research the researchers have a freedom of choice. The researcher is “free" to choose
the methods, techniques, and procedures of research that best meet their needs and purposes.
Pragmatism also gives the researcher the guidelines and is the best way of doing research.
However it does not enable researcher to interpret the data, different methods may provide
opposing results and this need to be considered in the design of the methodology and the
interpretation of the results. The philosophy is also complex, however researcher has
interpersonal skills
3.2 Research Design
45
Research design is, the overall plan or program of research, thus research design is the general
blue print for the collection, measurement and analysis of data, the plan and structure of the
investigation in order to obtain answers to the research questions.
Researcher clearly understood that there are many different methods that could be used in
research design which included exploratory, descriptive and casual research method. From the
above definition the researcher also understood that problem solving should be well thought out,
it enable the researcher to clearly draw the road map to what the researcher evaluated.
3.2.1 Exploratory Research
Refers toan investigation into a problem or situation which provides insights to the researcher,
the research is meant to provide details where a small amount of information exists. The focus is
on gaining insights and familiarity for later investigation or undertaken when problems are in a
preliminary stage of investigation. It may use a variety of methods such as trial studies, online,
libraries and academic literature interviews, group discussions, experiments, or other tactics for
the purpose of gaining information. Exploratory research is, “a research design in which the
major emphasis is on gaining ideas, insights, it is particularly helpful in breaking broad vague
problem statements into smaller more precise sub problems.” This type of research seeks to
gather preliminary data, hence, the researcher employed it in the initial stages of the research
project and established the green marketing strategies being used by the three cement
manufacturers.
Exploratory Research sheds light on the real nature of the problem as to why customers,
members of the community, and all stakeholders have now conceived this negative corporate
image of the industry and gives the researcher to generate insights about what was causing the
bad corporate image in the industry, the research did eliminate the uncertainty and ignorance
concerning the general information about green marketing strategies, primary sources of data
particularly questionnaires and interviews as well as secondary data sources such as news real’s
and journals, reports from the company sales and marketing director and also text books were
employed, enabling the researcher to plan and design instruments of gathering data.
However the researcher will not be able to provide conclusive information the research process
46
underpinning exploratory studies is flexible but often unstructured, leading to only tentative
results that have limited value in decision-making.
3.2.2 Descriptive Research
Descriptive research is the efficient way of collecting information about one or more groups of
people the main aim is to learn about large sample population, it refers to research studies that
have as their main objective the accurate portrayal of the characteristics of persons, situations or
groups, descriptive research can be described as a non- experimental research design used to
observe (and measure) a variable when little conceptual background has been developed on
specific aspects of the variables under study ,it covers research designs that are intended to
produce accurate descriptions of variables relevant to the decision being faced without
demonstrating that some relationship exists between variables. The researcher used descriptive
research to get a closer view of the problem particularly negative corporate image in cement
manufacturing industry.
The researcher used descriptive statistical methods such as frequency tables, average percentages
and cross tabulations to describe and summarize responses to research questions. The study was
used to specify the types of green marketing strategies being used by the industry, to determine
the challenges it faces in implementing these green marketing strategies, and to examine the
customers’ perceptions on the corporate image of the industry. The researcher was in a better
position to clearly define green marketing strategies and to evaluate its effect on corporate image.
However the researcher will have lack of control over timeless and potentially low response rate
and also the researcher will have difficulty in determining whether respondents are responding
truthfully.
3.3 Target population
Target population is composed of all of the individuals of interest to the researcher, the target
group which the researcher wants to know about by studying one or more of its samples. Target
population refers to the total group of individuals from which the sample is drawn from. In this
47
case, the target population of this study was two thousand (2000) Customers; one hundred and
fifty (150) middle management team and 60 senior managers according to customer data bases
and Human resources departments of Lafarge, PPC and Sino cements .Total population under
study is therefore 2210
3.4 Sampling methods and techniques
A sample is a subset of the target population from which information is gathered to estimate
something about the population. This plan calls for three decisions, which include the sampling
unit, sampling procedure and sample size.
The researcher will employ two sampling methods namely probability and non-probability which
will allow for a balanced response. On the non-probability sampling the researcher will use the
judgemental sampling method and on the probability sampling the researcher will use the simple
random sampling and stratified random sampling.
3.4.1 Sampling Procedure
Sampling procedure are the means by which sample elements are selected from the targeted
populations after major decisions concerning the sampling unit and sample sizes have been
made. The researcher used both probability and non- probability sampling methods.
3.4.1.1 Non- Probability Sampling
Non-probability sampling, describes an approach in which some units of the population have no
chance of being selected or where the probability of selection cannot be accurately determined.
Non-probability sampling is a quick way to collect and analyze data in range of settings with
diverse populations. This approach is also a cost-efficient means of greatly increasing the
sample, thus enabling more frequent measurement. There are several non- probability sampling
methods which include convenience sampling; judgmental sampling; quota sampling and
snowball sampling.
48
The researcher used judgmental sampling method in sampling senior management as they had
specialised areas of management after determining the number of senior management for
interviewing researcher employed judgmental sampling to choose senior managers from the
following departments marketing, finance, human resources, environmental ,purchasing and
production managers as they had detailed information about green marketing strategies and
corporate image.
3.4.1.2 Probability sampling
Probability sampling technique wherein the samples are gathered in a process that gives all the
individuals in the population equal chances of being selected, there are various probability
sampling techniques that can be used that include simple random sampling, stratified sampling,
systematic sampling, cluster sampling and multistage sampling, the researcher used simple
random sampling method. If random selection was done properly, the sample is therefore
representative of the entire population, simple random sampling was used by the researcher in
sampling customers and middle managers.
3.4.2 Sample Frame
A sample frame is the physical material from which samples are chosen, is a type of record in
which research units and /or their attributes are registered. The sample frame for this study was
cement customer data bases obtained from the Marketing departments and from management
data bases obtained from the Human Resources Departments, of the three cement manufactures.
Respondents Customers Middle Managers Senior Managers
Population 2000 120 60
Table 3.4 Sample Frame
49
3.4.3 Sampling unit
A sample unit is a basic unit containing the elements of the population to be sampled. The
sampling unit in this study comprises of customers, and managers, of the three cements
manufactures who have knowledge on the green marketing strategies that have been employed in
the cement manufacturing industry as well as the corporate image obtaining in the sector.
3.4.4 Sample Size
Referred to as, “the number of elements or units of the population to be sampled.” A sample size
is the part of the population who really participate in the study. It refers to how many people
should be surveyed. Although it is believed that the larger the sample size, the lower the likely
error in generalizing to the population., however, it is not necessary to sample the entire target
population or even a substantial portion to achieve reliable results collecting data from fewer
participants means that you can collect more detailed information.
Determining the correct sample size is vital as the incorrect sample size may bring about results
that are irrelevant and findings and recommendations will be inappropriate Samples of less than
10% of the population can often provide reliable information, with a credible sampling
procedure.10 % of the population is the minimal recommended number according to Bovee and
Thill (1999) the researchers suggested that for descriptive studies 10% of the accessible population is
enough hence the researcher used the 10% sampling fraction as the study is largely descriptive as
follows; for the sample size. f = n/N = 10% therefore 10% of 2210 gave 221 as the sample size of
the research
Therefore the sample size for this study is tabulated below:
Respondents Customers Managers Senior Managers
50
Population 2000 150 60
Sample
size(10% of
Population)
200 15 6
Table 3.5 sample size
3.5 Data Sources
They are a wide variety of methods to consider, either singly or in combination, both primary
and secondary data sources
3.5.1 Secondary data
Secondary data is already available information either internally or externally, having being
collected for other purposes, the researcher obtained existing data through companies news
real’s, journals, and reports from the three cement manufacturing companies sales and marketing
Executives.
This information set the foundation to the study and through company records; which made the
researcher come up and conclude the research problem. Secondary data was used because it is an
economic source since published reports and information were already compiled and could be
easily obtained, which saved the researcher from high costs associated with data collection.
3.5.2 Primary data
Interviews for senior management and questionnaires for middle managers and customers were
used to collect information on the effect of green marketing strategies in managing corporate
image in the cement manufacturing sector.
Primary data is collected especially to address specific research objectives. A variety of primary
sources, ranging from qualitative research to surveys, to experiments was employed for data
51
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive
Evaluation of the effect of green marketing strategies on corporate image in the cement industry of  Zimbabwe.Executive

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Evaluation of the effect of green marketing strategies on corporate image in the cement industry of Zimbabwe.Executive

  • 1. MIDLANDS STATE UNIVERSITY FACULTY OF COMMERCE DEPARTMENT OF MARKETING MANAGEMENT RESEARCH SUPERVISION ACKNOWLEDGEMENT FORM Name of Student: Bernard Tapiwa Sithole Registration Number: R14845E Name of Supervisor: Mrs D Nkala Research Topic: An evaluation of the effect of green marketing strategies on corporate image in the cement manufacturing industry of Zimbabwe I, the undersigned do acknowledge that the student named above has consulted me for supervision of her project/dissertation until completion. I therefore do advise the student to submit her work for final assessment. Signed…………………………………………… Date………………………………………… 1
  • 2. DECLARATION Student number R14845E I, declare that Evaluation of the effect of green marketing strategies on corporate image in cement manufacturing industry of Zimbabwe is my own work and all the sources used or quoted have been indicated and acknowledged by a way of complete referencing. ………………………………………… ………………………………… DJI Date DEDICATION 2
  • 3. This dissertation is dedicated to love and my three lovely kids. You guys are the centre of my universe. ACKNOWLEDGEMENTS 3
  • 4. Sincere gratitude to the following for the assistance rendered to me for this document to be a success. • The LORD I thank you for giving me the inspiration, ability, and passion to work during the entire course of my study. • Many thanks my supervisor Ms D Nkala for guiding me throughout this project. It has been a long journey with obstacles and insights but she has been the force behind the completion of this dissertation. • May I offer my profound gratitude goes to my friends Chiedza Maposa and Phillip Munhupedzi for their support and invaluable insights during my research. • I am grossly indented to the Faculty of Commerce; Chairperson (Mr Duve) and Head of Marketing Department Mrs Mugwati and all lecturers and all other staff in the marketing department. • I am also grateful to, customers and management of Sino Cement Zimbabwe, Pretoria Portland Cement and Lafarge Cement Zimbabwe for making my dissertation a success through providing the needed information. • I also want to express my sincere gratitude to all people who responded to the interviews and questionnaires for this study. • To all my academic colleagues from the Masters of Commerce in Marketing Strategy class for the continuous encouragement and support during the course of the study as say Viva the spirit of Havruta ABSTRACT The research which was undertaken from January to April 2015 looking at the effect of green 4
  • 5. marketing strategies on corporate image in the cement manufacturing industry in Zimbabwe. The main purpose of this study is to assess the effects of green marketing strategies that is green promotions, eco-labelling, eco-production and green purchasing on corporate image. Literature review was carried out on the effects of green marketing strategies on corporate image particularly effect of green promotion on corporate image , effect of eco-labelling on corporate image, effect of eco-production on corporate image and effect of green purchasing corporate image as discussed, to find similarities and differences from different authors who studied green marketing variables and in this study major authors were Frunan (2010), Gassmann (2011), Ham (2011) and Bauer (2013). Pragmatism and both descriptive and exploratory research design were adopted which allows the gathering of data and description of events through organizing, tabulating, depicting and describing the data gathered. Simple random sampling, and judgemental sampling were used to select the respondents of which the procedures give each unit of the population an equal chance of being picked as well as allowing flexibility on the part of the researcher to use readily available participants. A sample size of 221 particularly 200 customers and 15 middle managers and 6 senior managers was used. SPSS V20 was used to analyse data and presentations were done in the form of table, bar-graphs, and pie-charts. Qualitative information was discussed to reflect the views of the respondents on the effect of green marketing strategies on corporate image in the cement manufacturing industry in Zimbabwe. The major findings are that if fully implemented green marketing strategies results in a positive corporate image as all cement manufacturing stakeholders want cement manufactures to install genuine green promotions, trust worth eco-labelling programs, practical eco-production processes strategies and credibility and fair green purchasing activities. In view of the above findings the study recommended that there is need for cement manufactures to be open to its various stake holders in the industry to generate trust which is an important builder of corporate image. On further research, a gap still exist on impact of green marketing on customer loyalty. TABLE OF CONTENTS Title Page 5
  • 6. Supervisor acknowledgement……………………………………………………………………i Declaration……………………………………………………………………………………....ii Dedication ……………………………………………………………………………………....iii Acknowledgements ……………………………………………………………………………..iv Abstract…………………………………………………………………………………………..v Table of contents…………………………………………………………………………………vi Chapter I………………………………………………………………………………………...1 General Introduction…………………………………………………………………………...1 1.0 Introduction…………………………………………………………………………………..1 1.1 Background to the problem…………………………………………………………..............1 1.2 Statement of the problem……………………………………………………………….........5 1.3 Conceptual Framework………………………………………………………………………6 1.4 Research objectives…………………………………………………………………….…….7 1.5 Hypothesis……………………………………………………………………………………7 1.6 Significance of the study…......................................................................................................8 1.7 Assumptions……………………………………………………………………………….....9 1.8 Delimitations…………………………………………………………………………….…...9 1.9 Limitations…………………………………………………………………………………...10 1.10. Definition of terms and abbreviations………………………………………………….….10 1.11. Chapter summary……………………………………………………………………….....11 Chapter II………………………………………………………………………………….........12 Literature Review……………………………………………………………………………....12 2.0 Introduction………………………………………………………………………….............12 2.1 Corporate image ………………………………………………………………….................12 2.1.1 Corporate image success factors…………………………………………………………..13 2.1.2 Elements of corporate image………………………………………………………………15 2.2 Green marketing strategies………………………………………………………………......15 6
  • 7. 2.2.1 Forms of green marketing strategies……………………....................................................16 2.2.1.1 Eco-labelling strategy…....................................................................................................16 2.2.1.2 Types of Eco -labels………………………………………………………………..……17 2.2.1.2.1 Mandatory eco labels………………………………………………………………….17 2.2.1.2.2 Voluntary labels……………………………………………………………………….19 2.2.1.3 Effect of eco-labels on corporate image……….……………………………..................20 2.2.2.1 Green promotion strategy……………………………………………………………….20 2.2.2.2 Ways to implement green promotion strategies………………………………….…......21 2.2.2.3 Green promotion tools…………………………………………………………………..22 2.2.2.4 Effects of green promotion on corporate image...............................................................23 2.2.3.1 Eco-production processes strategy.........................................................................….......24 2.2.3.2. Elements of Eco-production processes strategy………………………………………...25 2.2.3.3. Effects of Eco-production strategy on corporate image…...............................................26 2.2.4.1. Green purchasing strategy…………………………………………………………........27 2.2.4.2. Green purchasing dimensions…………………………………………………………..28 2.2.4.3. Effects of Green purchasing on corporate image………………………….....................29 2.3. Effects of Green marketing strategies on corporate image…………………………………30 2.4. Summary of Chapter………………………………………………………………………..31 Chapter III….………………………………………………………………………………......32 Research Methodology……………………………………………………………………........32 3.0 Introduction…………………………………………………………………………….........32 3.1. Research Philosophy………………………………………………......................................32 3.2. Research Design…………………………………………………………………………….33 3.2.1. Exploratory research………………………………………………………………….......33 3.2.2. Descriptive research………………………………………………………………….........34 3.3. Target Population……………………………………………………………………………35 7
  • 8. 3.4 Sampling methods and sampling techniques………………………………………………...35 3.4.1 Sampling Procedure……………………………………………………………………......35 3.4.1.1 Non Probability Sampling……………………………………………………………......35 3.4.1.2 Probability Sampling……………………………………………………………….........36 3.4.2 Sampling frame…………………………………………………………………………….36 3.4.3 Sample size…………………………………………………………………………….......37 3.5 Data sources………………………………………………………………………………….38 3.5.1 Secondary data…………………………………………………………………………......38 3.5.2 Primary data………………………………………………………………………………..39 3.6 Research instruments…………………………………………………………………….......39 3.6.1 Questionnaires………………………………………………………………………….......39 3.6.2 Interviews………………………………………………………………………………......40 3.7 Data collection Procedure and administration……………………………………………….41 3.8 Validity and Reliability of findings……………………………………………………….....41 3.9 Ethical statement…………………………………………………………………………......42 3.10 Data analysis and presentation tools……………………………………………………......42 3.10.1. Data presentation methods……………………………………………………….............42 3.11. Chapter summary………………………………………………………………………......43 Chapter IV………………………………………………………………………………………44 Data Presentation, Analysis and Interpretation of findings…………………………………44 4.0 Introduction…………………………………………………………………………………..44 4.1. Response Rate……………………………………………………………………………….44 4.2. Eco -labelling effect on corporate image …………………………………………………...45 4.2.1 Customers Response ………………………………………………………………………45 4.2.2 Managers Responses………………………….....................................................................46 4.2.3 Linear Regression findings: Eco -labelling effect on corporate image……………………47 8
  • 9. 4.3 Green-promotion strategy on corporate image………………………………………………48 4.3.1 Customers Response ………………………………………………………………………48 4.3.2 Managers Responses ……………………………………...................................................49 4.3.3 Linear Regression findings: Green-promotion strategy on corporate image……………...51 4.4. Eco –production processes effect on corporate image……………………………………..52 4.4.1 Customers Response ……………………………………………………………………...52 4.4.2 Managers Responses ……………………………………...................................................54 4.4.3. Linear Regression findings: Eco –production processes effect on corporate image……..55 4.5 Green purchasing on corporate image …………....................................................................56 4.5.1 Customers Response ………………………………………………………………………56 4.5.2 Managers Responses ……………………………………....................................................58 4.5.3. Linear Regression findings: Green purchasing on corporate image………………………60 4.6 Chapter Summary………………………………………………………………....................61 Chapter 5………………………………………………………………………………………62 Summary, Conclusions and Recommendations………………………………………………..62 5.0 Summary…………………………………………………………………………………...62 5.1. Conclusions………………………………………………………………………………..63 5.1.1 Effect of eco-labelling on corporate image ………………………………………….......63 5.1.2 Effect of green promotion on corporate image …………………......................................64 5.1.3 Effect of eco-production on corporate …………………………………………………...65 5.1.4 Effect of green purchasing on corporate image…………………………………………..65 9
  • 10. 5.2 Recommendations…………………………………………………………………………..66 5.3 Area for further research……………………………………………………………………68 REFERENCES…………………………………………………………………………….59-78 LIST OF APPENDICES Appendix 1 Covering Letter for customers……………………………………………………A1 10
  • 11. Appendix II: Questionnaire for Customers ………………………………………………. …..A2 Appendix II1: Covering Letter for customers………………………………………………….. A3 Appendix IV: Questionnaire for managers……………… ……………………………………..A4 Appendix V: Interview Guide for senior ………………………………… ……………………A5 Appendix VI: The Frontier Consulting Group Corporate Image Index Framework……………A6 Appendix VII: Linear Regression Data (1 Typical Year) ……………………………………..A7 Appendix VIII: Analysis of Variance (ANOVA) Tables……………………………………...A8 11
  • 12. LIST OF FIGURES Fig: 1.3 Conceptual Frame………………………………………………………………………6 12
  • 13. LIST OF TABLES 3.4 Sample Frame……………………………………………………………………………….36 3.5 Sample size…………………………………………………………………………………..37 4.1 Questionnaire Response Rate……………………………………………………………......44 4.2 Customer Rating the effect of Eco-labelling Programs on corporate image……...................45 4.3 Managers Rating the effect of Eco-labelling Programs on corporate image……………......46 4.4 Correlations between Corporate Image and Green Labelling……………………………….46 4.5 Regression Coefficients for effect of Green Labelling on Corporate Image………………..47 4.6 Customers rating the effect of green promotion programs on corporate image……………..48 4.7 Managers rating effect of green promotions activities on corporate image…………………49 4.8 Correlations between Corporate Image and Green Promotions……………………………..49 4.9 Coefficients for Effect of Green Promotion on Corporate Image……………………………50 4.10 Customers rating, effect of eco-production processes programs on corporate image……...51 4.11 Managers rating the effect of eco production processes activities on corporate image…….50 4.12 Correlations between Corporate Image and Green Production…………………………….52 4.13 Customer rating the effect of green purchasing programs on corporate image…………….51 4.14 Managers rating the effect of green purchasing programs on corporate image…………….52 4.14 Correlations between Corporate Image and green purchasing……………………………..53 13
  • 14. CHAPTER 1 GENERAL INTRODUCTION 1.0 Introduction The chapter introduces the subject matter of the study that is the effect of green marketing strategies on corporate image through looking at the Zimbabwean cement manufacturing sector. In addition to the above the chapter looks at the background to the study, statement of the problem, conception framework, objectives and research questions .The chapter round up by examining delimitations, limitations and definition of the terms. 1.1 Background to the Study Peattie (2012) referred to green marketing as ‘the holistic management process responsible for identifying, anticipating, and satisfying the requirements of the consumers and society, in a profitable and sustainable way’, it implies that organizations need to determine the needs of target markets and to deliver the desired satisfactions in a way that enhances the consumers and the society’s wellbeing. Customers are now demanding green products and Krautzberger (2012) referred green products as products whose functions or ideas deal with the process of material retrieval, production, sales, utilization and waste treatment available for recycling, reduced pollution and energy saving this has prompted cement manufacturing companies to use green marketing strategies like green purchasing, eco-labelling, green promotion and eco-production processes to influence corporate image. In addition Frunan (2010) outlined corporate image it as a net results of knowledge, beliefs, ideas, feelings and impressions about an organisation which is mental picture that springs up at the mention of a firm's name. Although academics seems to concur about the significance of green marketing in bringing in a competitive advantage to business its particular effect on corporate image has not been adequately addressed hence the aim of this study. Looking at a global perspective a research was done in the Sweden by Crassous and Gassmann (2011) studying whether green marketing can be a competitive advantage in service marketing. The major finding was that indeed green marketing can bring in competitive advantage in services sector if appropriate strategies are 14
  • 15. employed, this study on the other hand mainly focuses on the manufacturing sector particularly the cement industry and more so on the effect of green marketing on corporate image. Another related research was done in the Croatia by Ham (2011) while studying the relevance of green marketing in retail sector the researcher`s study emphasised the important role of green marketing communication in the implementation of green marketing strategies the research was focusing on a single green marketing strategy while this current research will focus on the following green marketing strategies; green purchasing, eco -labelling, eco-production processes, green promotion. Another research was by Joey (2014) while studying the role of green marketing in American business he postulated that green marketing is a tool now used by a number of firms to increase their competitive advantage because society is currently very concerned about environmental issues. While applying green marketing, the firms have to satisfy the consumers’ needs and wants, the focus of the above study was investigating how green marketing strategies can bring a tangible competitive advantages in business which is in contrast this current study which seeks to evaluate the effect of green marketing strategies on corporate image an intangible competitive aspect. In developing world a research was done in India by Kumar and Rahamanin (2011) concerning the green marketing mix adaptation to changing global climate the major finding was that companies are redefining their marketing mix in the context of changing global climate making green marketing strategies a necessity rather than an option. In contrast this study will focus on the effect of green marketing strategies on corporate image of cement manufacturing players. According to the research done in Colombo by Samarasinghe (2012) investigating the success source of green marketing in Colombo hotel sector. The major finding was that the green based flexibility has helped hotels to sustain competitive advantage in financial performance, positioning and in inimitability. Another related research was done by Mpele (2012) South Africa to investigate the level of awareness regarding green marketing and its managerial implications, among selected, South African Manufacturing Small, Medium and Micro Enterprises (SMMEs), the major finding was that the research demonstrated that there is a need for South African manufacturing SMEs to increase green marketing awareness and understanding of green marketing concept benefits to 15
  • 16. the sector and its target market. The study further identified the lack of skilled marketing personnel as a major barrier facing their companies, with regard to practicing green marketing. From the above research it clear to the researcher that the researcher took a narrow perspective of green marketing as by concentrating the research on customers only the researcher therefore took a stake holder approach to the problem thus had the following groups of people as respondents middle managers, senior managers and customers. In less developed nations like related research was done on corporate image in Egypt by Nahas (2013) when the researcher was investigating the relation between corporate image, service quality and customer satisfaction .The major finding was corporate image goes hand in hand with customer satisfaction and it is a very critical aspect in the success of any organisation thus continuous research on it is a must to successfully differentiate ones` corporate. The above research concentrated on the link between corporate image, service quality and customer satisfaction and did not try to link corporate image and green marketing strategies as this study will endeavour. Another research was done in Genuine by Oyewole (2011), when studying social costs of environmental justice associated with the practice of green marketing. The major finding was the conceptual link among green marketing, environmental justice, and industrial ecology, the researcher argues for greater awareness of environmental justice in the practice for green marketing. Furthermore in contrast with the type of costs commonly discussed in the literature, the paper identified another type of costs, termed 'costs with positive results,' that may be associated with the presence of environmental justice in green marketing. It can be noted that the above researcher emphasised costs of implementing green marketing thus was more or less negative to the green concept but in this study the researcher will focus on the results of green marketing strategies and their impact on corporate image. An analysis of the Zimbabwean perspective revealed that related research done on green marketing strategies and corporate image is very scarce in general except for a far- related one done by Mapira(2012) the researcher was studying river pollution in Mutare river ,the major finding was that heavy industries in and around Mutare were responsible for river pollution due 16
  • 17. to industrial effluent discharge. Unlike this study the research didn’t extend probable solutions or ways to correct the bad image the Mutare industries have earned, in this study the researcher will try to investigate if the proposed green marketing strategies has an effect on corporate image. Another related research was done by Kusena, Shoko and Marambanyika (2013) the researchers were investigating the benefits that may accrue to the community from the introduction of Sino Cement in Gweru, they maintained that if properly co-ordinated, ecologically conscious mineral exploitation for cement manufacturing can transform development in surrounding communities through employment creation and infrastructural development. This current study unlike the above will be broad, will focus on the benefits that may accrue to all cement industry corporate image if green marketing strategies are implemented .Another Zimbabwean related research was done by Nyahunzvi (2011) was trying to ascertain the level of green marketing awareness in the tourism sector, the key finding of the study was that there were low levels of eco-literacy and environmental awareness and consequently, limited green action undertaken by lodge managers. It was also found that not a single tourist lodge had a formal written environmental policy whilst the lodge managers expressed a need for the provision of information and education around green tourism The weakness of the above research is too much emphasis on tangible benefits of implementing green marketing strategies whereas this study focus on the intangible aspects particularly corporate image. The cement manufacturing sector in Zimbabwe is comprised of three international companies namely Pretoria Portland Cement(PPC) based in Bulawayo, Lafarge Cements Zimbabwe based in Harare and Sino Cement Zimbabwe based in Gweru thus resulting in an oligopoly market structure ,The three cement manufactures has annual production capacity of 2 000 000 tonnes of cement. Needless to say the sector is heavy industry manufacturing and it requires high finance outlay and long term investment and planning thus as a result it is dominated by foreign companies as follows PPC from South Africa, Lafarge from France, Sino –Zimbabwe from China. Most of the produced cement is consumed locally and only 5% is exported, furthermore about 85% of these companies customers are industrial and only 15% are individuals. Cement production and distribution result in an intensive interaction of the corporates and the environment, thus the need for them to mitigate the damage and disturbances the manufactures 17
  • 18. are doing on both environment and the community at large that has led to degeneration of these players’ corporate image. Sino-Zimbabwe was forced by Environmental Management Agency to suspend its operations in 2013 due to massive environmental pollution (EMA, 2010). Such incidences of high pollution might have effects on the social and economic wellbeing of the surrounding communities Lafarge and PPC was fined by Harare city council and EMA in November 2014 an excess of $500 000 at their quarry works for non-compliance with act. An alarming exploratory survey carried out by the researcher further indicated that cement customers had modified their behaviour, including their purchasing behaviour, due to environmental reasons thus cement manufacturers risk losing out customers to upcoming foreign suppliers practising green marketing , if their actions are not urgently aligned with green marketing practises, Although the management of these three cement producers have attempted to correct the dented image through a number public relations efforts like tree planting volunteer working hours, donations and cleaning campaigns as in the case of Lafarge, plant upgrading for example Sino cement has completed its $1.8 million end of 2014, Pretoria Portland cement has embraced total quality management, and new plants installations from 2006 up to date, use of alternative fuel namely Lafarge cement from 2010 up to now through use of saw-dust from Selborn milling in Mutare for cement Kiln energy the image has not improved .The plan and strategy that the cement manufactures has of late taken is to employee green marketing strategies to correct the lost good corporate image. 1.2 Statement of the problem The rise of an green enlightened customers and general populace led to the adoption of green marketing not only in Zimbabwe but the world over, these concerns include, operations disregard environmental concerns through air pollution mainly carbon dioxide emissions , dust emissions affecting neighbouring communities, effluent discharge into water sources ,great disturbances of the ecosystem by its quarries, and its non-biodegradable packing material air pollution ,Land degradation through roads construction, used packing material littering, high energy consumption of non-renewable fuel, noise pollution, failure to write side effects of interacting with cement on packaging has marred their corporate image at a time the 18
  • 19. Zimbabwean society in general and cement customers in particular are categorically demanding business environmental responsibility as they are now more enlightened in this internet age and adoption has been increased by the stringent provisions of the Environmental Management Act of Zimbabwe (Chapter 20:27). Sino Cement Zimbawe, Pretoria Portland Cement and Lafarge Cement manufacturers have employed the following green marketing strategies, green purchasing, Eco-labelling, green promotion and eco-production processes, effect on corporate image in cement manufacturing sector 1.3 Conceptual Framework Eco-labelling Green promotions Green marketing improved corporate image better shareholder value Eco-cement production processes Green purchasing Fig 1.3 Conceptual framework Source: Own creation From the above diagram, Fig 1.3 Conceptual framework it can be argued that the achievement of improved corporate image in the cement manufacturing sector can be possibly explained by 19
  • 20. green marketing strategies particularly, Eco-labelling, green promotion, eco-production processes and green purchasing. Corporates that practise green marketing are likely to be viewed positively by customers resulting in a good corporate image. 1.4 Research objectives a. To establish the effects of Eco-labelling on corporate image in the Zimbabwe cement industry. b. To evaluate the effects of green promotion on the image of the cement manufacturing industry c. To examine the extent eco- cement production processes affect corporate image d. To ascertain the effect of green purchasing on corporates image of the cement manufacturing 1.5 Hypothesis Ho=Eco-labelling does not lead to better corporate image improvement in the cement manufacturing sector. H1 =Eco-labelling lead to better corporate image improvement in the cement manufacturing sector. Ho = Green promotion effort does not result in improved image. H2= Green promotion effort result in improved image Ho =Eco- production processes does not affect image. H3 =Eco- production processes affect image. Ho = Green purchasing does not lead to better corporate image. H4 = Green purchasing lead to better corporate image. 1.6 Significance of the study 20
  • 21. To the researcher Equipped the researcher with research and analytical skills as well as gaining knowledge and insight into the cement manufacturing sector, green marketing strategies, corporate image building and various related concepts. Besides the research is for partially fulfilment of the requirements of The Master of Commerce: Marketing Degree which the researcher is partaking The cement manufacturers industry of Zimbabwe Data collected from the research should reflect the true customer perception about green marketing strategies and corporate image of the industry The research can be a tool upon which relevant managers and policy makers mine information to make decisions that will benefit the entire cement manufacturing industry. Midlands State University New knowledge shall be brought to the university adding variety to literature at the college providing a source of information to other students The research will help other researchers and academics who may be will to do further studies related to green marketing or corporate image building. The surrounding communities Surrounding communities benefit from information that this research will avail to them as the researcher intends to interview the community members of the public. As well as the appropriate green marketing measures that will be employed because of this study. 1.7 Assumptions of the study 21
  • 22. The researcher assume that the respondents are the most appropriate which are customers, employees, managers, suppliers and publics and will supply the researchers with relevant information willingly. Researcher believe that the information from respondents like customers and managers who are actually on the ground and are the decision makers respectively shall be free from bias that the will give the researcher true feedback on how the green marketing strategies are being implemented Researcher also believe appropriate sample size that is 10% of the whole population of customers and managers was used. Researcher is also convinced that appropriate combination of sampling methods were chosen that is simple random sampling and judgemental sampling. Researcher also assume that the research instruments to be used are valid and reliable in this case is going to use questionnaires and in-depth-interviews. Researcher assume that the market and economic environment will not change considerably up to the end of the research 1.8 Delimitations of the study The research was carried in Zimbabwe cement manufacturing industry only particularly at Lafarge Manresa plant in Harare, Sino Zimbabwe cement manufacturing plant in Gweru and PPC cement plant in Bulawayo the respondents being managers according to their Human Resources Departments and customers from data bases from their Sales departments of Lafarge, PPC and Sino cements . Thus the study restricted itself to the study of the effect of green marketing strategies on corporate image in Zimbabwe cement manufacturing, particularly the following strategies green marketing strategies, Eco-cement production processes ,Green purchasing, Eco-labelling and Green promotion and will not look at other minor strategies like eco-branding. The study will cover the period between November 2014 to 16 April 2015 and The study will make use secondary data sources generated between 2000 and 2015 22
  • 23. 1.9 Limitations of the study Low response rate however the researcher make a follow up to all respondents through the phone and personal visits Another issue was the need for confidentiality on the information collected the researcher assured the respondents on both the questionnaire and before interviews that the acquired information was for academic purposes only and their names will not be disclosed. Unavailability of respondents, the researcher made appointments before visiting 1.10 Definition of Terms and abbreviations Definitions of terms Greenhouse effect -The trapping of the sun's warmth in a planet's lower atmosphere, Effectiveness- the degree to which something is successful in producing a desired result; success. Oligopoly-A situation in which a particular market is controlled by a small group of firms. . Customer satisfaction -I is a measure of how products and services supplied by a company meet or surpass customer expectation. Eco-label criteria guarantee that a given product or service is fit for use, and will have a reduced environmental impact throughout its life cycle Scarcity -the state of being scarce or in short supply; shortage. Ecosystem a biological community of interacting organisms and their physical environment The ozone layer or ozone shield- refers to a region of earth's stratosphere that absorbs most of the sun's UV radiation. Green washing-the act of misleading consumers regarding the environmental practices of a company or the environmental benefits of a product or service. Quality control-a system of maintaining standards in manufactured products by testing a sample of the output against the specification. 23
  • 24. Green Purchase Intention is defined as the probability and desire of a person to preference and has intention to buy organic products eco-friendly Abbreviations SAZ -Standards Association of Zimbabwe PMO-Plant Operating Model RCA-Root Cause Analysis IRO-return on investment ISO- international standards organisation EMA-Environmental management agency UV-Ultra -violet 1.11 Chapter Summary The chapter introduced brief background of the study thus gave a thorough background to the study, statement of the problem, conceptional framework, objectives, research question hypothesis, and, delimitations, limitations and definition of the terms , The researcher will now look at the chapter 2 Literature review which is virtually an analysis of other authors and researchers’ written work on the study topic whose aim is to evaluate the effect of green marketing strategies on corporate image in Zimbabwe cement manufacturing Industry. CHAPTER 2 24
  • 25. LITERATURE REVIEW 2.0 Introduction In this chapter the researcher made a closer look on available literature from a number of authors regarding green marketing and resultant strategies as well as corporate image. The chapter begins with analysis of green marketing and corporate image determinants, then further goes to explore green purchasing, eco -labelling, eco-friendly production processes, green promotion, as the employed green marketing strategies, in the process linking them to corporate image in the cement manufacturing industry. As a result the researcher was able to n come up with appropriate research questions and a broader view of what other researchers and academics think about green marketing strategies and corporate image. 2.1 Corporate image Frunan (2010) outlined corporate image as net results of knowledge, beliefs, ideas, feelings and impressions about an organisation. Melewar (2012) further explained that corporate image is inherently a composite product of various factors which reflect and communicate the ideas of an organisation, he went on to say corporate image is often used interchangeably with corporate reputation and corporate identity. In confirmation Veljkovic and Perovic (2011) said corporate image is the result of everything a company does it is determined by all company activities in the domain of products and services, behaviour and attitudes, corporate culture, ecologically accepted behaviour and socially responsible business practises and corporate communication The term corporate image is often used to refer to an organization’s views about external stakeholders’ perceptions with respect to an organization Davies (2012)in support Brown (2013) refer to this as the construed image. Construed image encompasses all the associations that internal organizational members have about external stakeholders’ perceptions of the organization. It asks the question “What does the organization believe others think of the organization?” Brown (2011). Corporate image focuses on the “outside world's overall impression of the company including the views of customers, shareholders, the media, the general public according to Hatch & Schultz, (2013) in support Nasser (2012) indicated that corporate image is an important component of customer satisfaction. Image is a result of adding good reputation to its customers, 25
  • 26. being reliable, having contributions to society and being professional and inventive further Nasser (2012) points out that the fundamental image of the organization applies to the type of association customers get from the service organization and the brand name. Veljkovic and Perovic (2011) went on to come up with elements of corporate image he said it is formed on the basis of its history, beliefs business philosophy, ownership ,structure, the people that make the company, ethical and cultural value system, furthermore the two researchers went on to, say in building corporate image management should approach the issue of conceiving and managing tangible components that influence the formation of image for example products and services offered, their attributes, and benefits and intangible attributes that are becoming increasingly important in the process of differentiation from competition and the building of a distinguish corporate image for example service during and after sales ,loyalty programs, design and packaging. Boucher (2014) went further to say the concept corporate image should draw the company’s attention to the way in which it is perceived in the market, no matter how much or how well the company seeks to influence this, its image on the market usually never corresponds with the ideal as the managers wants it to be and as the employees perceive it. Therefore, the following concept might be useful, but as mentioned, it can be difficult to group corporate image various perception. However Boucher (2011) had a narrow view of corporate image defining it as how the company is perceived by the market it depends on good will, rumours and reputation. It is clear corporate image is what the publics is supposed to see when the corporation is mentioned, a sum total of impressions left on the company's many publics. 2.1.1 Corporate image success factors It has been cited in literature, that corporate image is affected by many factors. Personal reputation affects corporate image according to Musteen (2012).The reputation of the leader, management or the owner also affects the image of an organization. Many studies have highlighted the importance of the leader’s reputation in determining the image of an organization to the extent that the leader can account for up to 48% of the organization’s image Gaines-Ross, (2013). This is beneficial for those organizations that are not competitive enough which gain from a good industry image as supported by Mahon (2012). Finally, the reputation of a country also affects corporate image. This includes the effect of country-of-origin on the reputation of 26
  • 27. corporations Mahon, (2011). Corporate images are self-validating in the sense that beliefs derived from one source are confirmed by other sources. This evaluation could be based on stakeholder’s direct experiences with a company and other forms of communication and symbols from a company from other people and objects. 2.1.2 Elements of corporate image Corporate image elements are many however Gray and Balmer,(2012) cited organizational ethics ,financial performance ,shareholder value ,corporate branding activities ,marketing mix activities ,public relations ,relationships with stakeholders. Kim and lee (2010), postulated his own elements saying “Organizations increasingly recognize the importance of corporate image to achieve their goals and stay competitive and, the majority have employed predicator variables of corporate image including customer satisfaction, service quality, value awareness, role of management, creation of value, and customer service value, awareness of company products, perception about culture and general expectations”. Nguyen (2010) also created five factors of corporate image that include corporate identity, reputation, service offering, (4) physical environment, and contact personnel. In contrast Veljković and Petrović, (2011) came up with following as the most important elements of corporate image: products and/or services for example attributes and benefits for consumers, quality and innovativeness ,people and relations -company orientation toward consumers/ stakeholders, values and programs -ecological responsibility and social responsibility ,corporate credibility -expertise, trust and general public approval Most scholars agree that corporate image is as a collective construct that describes the aggregate perception of multiple stakeholders about a company’s performance, and can be measured and described using the following personality’ dimensions; integrity, quality, imagination ,reliability, service, social responsibility, technical innovation and value for money. 2.2 Green marketing strategies Prakash, (2012, p. 285) referred green marketing as, “the strategies to promote products by 27
  • 28. employing environmental claims either about their attributes or about the systems, policies, and processes of the firms that manufacture or sell them in addition ”.in addition Peattie (2010) explained green marketing in terms of customer satisfaction in a sustainable fashion which he refers to as ‘the holistic management process responsible for identifying, anticipating, and satisfying the requirements of the consumers and society, in a profitable and sustainable way’, it implies that organizations need to determine the needs of target markets and to deliver the desired satisfactions in a way that enhances the consumers and the society’s wellbeing ,more so Polansky (2010) described it as consisting of all activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and wants occurs, with minimal detrimental impact on the natural environment. Charter (2013), adds a strategic dimension to green marketing strategies and stressed the importance of a long term perspective and the role played by stakeholders and outlined green marketing is a holistic and responsible strategic management process that identified, anticipates, satisfies and fulfil stakeholder needs, for reasonable reward, that does not adversely affect human or natural environmental well- being’. A more encompassing description of green marketing strategies was suggested by Kangis (2011) as he postulated that green marketing must be more than either a green way of marketing, or the marketing of so-called green products. “Green‟ indicates both to the method and to the product. In conclusion Haery et al (2013) suggested that it has become imperative that consumers around the world has become green conscious hence he need to differentiate products basing on their greenness will give companies in the cement manufacturing industry corporate image mileage. It can be observed that green marketing is driven by the need for business sustainability and that there are a number of strategies the implementer may choose from depending on the sector and circumstances prevailing in the company and or industry 2.2.1 Forms of Green marketing strategies 2.2.1.1 Eco –labelling Strategy Bruce and Laroiya (2010) described an eco-label as a claim made by a firm, affirming that ‘it has 28
  • 29. employed environmentally-sensitive production or distribution methods’. It is an approach to environmental certification practiced around the world and is developed by governments, manufacturers, and third-company organizations independently. A product that meets or qualifies a wide range of environmental performance criteria or standards is recognized by an eco-label. In support Kovavela (2013) referred eco-labelling as certification of environmental product and services Eco labelling can be based on two types of criteria: product related, and production- related. Product related criteria are related to the environmental impact of products only. Production-related criteria are related to process and production methods (PPMs) which cover the environmental impact of an entire production process. In support Global Eco labelling Network (2014), outlined an eco-label as a label which identifies overall environmental preference of a product or service within a product category based on life cycle considerations. Bruce & Laroiya, (2013) further elaborated that Eco-labels can be a proof used by a firm to inform and show their customers that it has employed environmentally sensitive production or distribution methods. Montes & Shimshack, (2011) suggested that Eco-labels signal to consumers the environmental attributes of a product. The goal of eco-labels is to provide easily interpretable information, and thereby elicit increased demand for products perceived as environmentally favourable It must be noted that according to United Nation Office for Project Services, (2010) contrary to an eco-label, a self-styled environmental symbol or a claim label is developed by a manufacturer for its product whereas the Eco label is granted by an independent third party, and not influenced by the company who seeks certification .As has been identified by the International Organization for Standardization (ISO)(2012)the overall goal of these labels and declarations is: "...through communication of verifiable and accurate information, that is not misleading, on environmental aspects of products and services, to encourage the demand for and supply of those products and services that cause less stress on the environment, thereby stimulating the potential for market- driven continuous environmental improvement". In contrast Smith (2012) suggested that a wide range of eco-labels that exist today has, in fact, increased confusion among consumers and potential users faced with numerous choices without having the ability or knowledge to differentiate. A particular challenge for producers is the choice of label when there are several of the same type, or when they export to markets where different labels are popular (this is often the case). In addition Barber (2010) suggested that to further 29
  • 30. complicate the picture, producers contemplating adoption of eco-labels usually have to bear the entire financial burden of employing more responsible practices, including certification costs which can be very high depending on the stringency of the eco-label. The uptake of eco-label schemes can be very slow in such cases, thus limiting the success of the scheme. It clear that, eco-label schemes do not operate in a vacuum and their effectiveness can be increased if other forces come into action i.e. green purchasing, eco-production and green promotion 2.2.1.2 Types of eco -labels Worldwide, there are numerous labelling programmes, developed by businesses, government agencies and non-governmental organisations. Each label has its own criteria that products need to meet in order to be certified according to Smith (2012) basically there are two types of eco labels, voluntary and mandatory 2.2.1.2.1 Mandatory eco labels Are required by law and authority and include Comparative labels Graham & Fagotto, (2014) outlined that comparative labels take a given product, such as a refrigerator, and show how efficient that product is in comparison with other similar products. Normally A or A* is the most efficient level of the scale and G is the worst. In support Montes & Shimshack, (2011) postulated that to qualify for the label, products must meet efficiency standards, e.g. for energy or water use, that are generally administered by a national authority Production labels Assess the method of production such as the various organic labels used in areas of food production as suggested by Laplante, & Maxwell, (2011) .Organic labels indicate how food has been produced and these labels are generally legally established and set standards for the methods used to control pests and for the treatment of livestock. Most organic labels exclude products from genetically modified crops. Organic labels are also applied to textile production 30
  • 31. and some personal care products.in support Graham & Fagotto,(2013) suggested that some production labels are sector- specific (such as for textiles) and may extend to how the company is managed and service provision (such as for labelling of ‘green hotels’). Environmental management system (EMS) standards (i.e. ISO 14001) however, do not indicate that the product meets an environmental standard but only refer to the management practices of the company. End-of-life labels Focus on a particular issue such as recycled content or the ability to recover or recycle resources at the end of life of a product (such as packaging, electronic and electrical products, and cars) according to Delmas, Montes, & Shimshack, (2013). Jin & Leslie, 2003 also suggested that Labels for offsetting carbon emissions indicate that carbon dioxide emissions due to energy consumption have been reduced through energy efficiency practices or through purchasing so- called ‘green energy’. Remaining emissions are offset through investment in forest regeneration and/or alternative-energy projects. Comprehensive labels Are generally based on life cycle assessments and attempt to evaluate the overall environmental impact of a product or service against a set of comprehensive pre-established criteria Khanna, as outlined by Quinui, & Bojilova (2011);. Because of stringent criteria, comprehensive labels enjoy high credibility but can also have a slow uptake due to lengthy procedures for selecting priority product groups and developing, agreeing and updating criteria. European experience shows that comprehensive labels can be restricted to the top 10–30% of products in a product group as postulated by Konar & Cohen, (2012). 2.2.1.2.2 Voluntary labels These are not a law requirement and include Type I 31
  • 32. Composed of independent and reliable labels that consider the lifecycle impact of products and services. Rao (2014) emphasised that Eco-labels are based on serious criteria of environmental quality, and they guarantee that the awarded products respect the highest environmental standard in that market segment according to Grunert (2011) The criteria is usually developed through the involvement of a large number of stakeholders and awarded after an independent process of verification.Thidell (2011) further supported this outlining it as a voluntary, multi-criteria-based third party program that awards a license which authorizes the user of environmental labels on products indicating overall environmental prefer ability of a product within a particular product category based on life cycle considerations. Type II: According Khan et al (2012) for labels belonging to this group do not share some of the usual characteristics of environmental labels; the main difference is that an independent authority does not award them. Companies develop these labels internally, and they can take the form of a declaration, a logo, a commercial, etc. referring to one of the company products. Orange (2010).explained it as self-declared environmental claims companies will turn to third parties or participate in certification programs to bolster these claims or to avoid having to release proprietary information publicly. Type III: Consist in qualified product information based on life cycle impacts as referred to by Awan (2011). A qualified third party sets environmental criteria, then companies compile environmental information into the reporting format and these data are independently checked. The environmental impacts are expressed in a way that makes it very easy to compare with different products and sets of parameters, for example for public procurement purposes. These labels do not assess or weight the environmental performance of the products they describe. This type of environmental labels only shows the objective data, and their evaluation is left to the buyer. Shil (2012) further suggested that Type III provide quantitative life cycle environmental data in a more extensive report format and they are not considered further here. 2.2.1.3 Effect of Eco -labels on corporate image 32
  • 33. The objective of eco- labels is to reduce information asymmetry between the producer of green products and consumers by providing credible information related to the environmental attributes of the product and to signal that the producer of the label is superior in this regard to a non- labelled product or company which in turn has a positive impact on corporate image according to Crespi & Marette, (2011).In addition United Nation Office for Project Services, (2010) had this to say to be trustworthy and thus enhance corporate image .Biswa (2014) adds that eco-labels trigger inquisition from environmental conscious consumers to opt for environmental friendly corporates based on the signs and or symbols on the product, In addition Raza (2010) add that companies can use eco-labels to communicate the benefits dangers of their product and build customer trust which is an essential element of corporate image. 2.2.2.1 Green promotion strategy Green promotion is an activity of promoting products as having characteristics that do not harm the natural environment Polonsky (2010). In support Scholossberg (2011) as quoted by Polonsky (2010) suggested that green promotion helps consumers to overcome the “greatest environmental hazard”, that is, the lack of environmental information. Scholossberg`s sentiments are shared by Ottman (2010) and Zint and Frederick (2012) who argue that green companies should not assume that consumers are knowledgeable about environmental issues or actions they engage in. In addition Bauer (2013) in Quirke (2011) argues that green promotion is an ever ending process and its goal should be to share the thinking and not announcing conclusions. Benerjee (2010) went further to say green promotion should meet one or more of the following criteria: explicitly or implicitly addresses the relation between a product/service and the bio-physical environment, promotes a green lifestyle with or without highlighting a product/service, presents a corporate image of environmental responsibility. Moreover, a company should develop an integrated communication approach which includes ‘Special Incorporation’ and ‘Special Product’ aspects regarding environmental issues and social responsibilities. Soonthonsmai, (2012) in addition came up with the issue of green washing suggesting that company’s applied strategies and slogans should be based on researches and correct information must be relevantly and continuously shared with customers and other beneficiaries. In addition, companies ought to be cautious and alert about whatever slogan or communication that might seem exaggerated. 33
  • 34. Consumers, pressure groups and media are considered as important addressees. Sandstorm and Tingstrom, (2011) further highlighted the issue saying if slogans are not correct or even are not studied enough, advertisement would be followed by negative and reserved results. Ambitious and ambiguous advertisements or even slogans which lack a sense of synergy with a product or company would put customer perceptions at risk .Needless to say promoting a green message successfully can therefore prove challenging as Ottman (2010) argues that environmentally oriented communications work best when green product attributes are obvious, legitimate, and meaningful to a sizeable number of consumers, a product’s environmental benefits are tangible and can be clearly and simply communicated and product-related efforts are reinforced by substantive corporate progress. It’s quite apparent that green promotion means transferring actual environmental information to those consumers who are involved in a company’s activities. 2.2.2.2 Ways to implement green promotion strategies A number of green promotion strategies that would lessen the gap on environmental information through promotion and also thus help corporate image, include: Educate customers on the environmental problems that a green product solves. Customer education is the extent to which employees equip customers with abilities and skills to critically utilize the information about organization services or products Kotler and Keller (2010) ,in support Eisingerich and Bell (2011) posits that organizations that provide understandably clear information are trusted by customers. Research shows that if customers learn how to effectively execute service related function the organization production will be increased Zeithaml (2012). In addition Kotler and Keller (2010) noted that customer education creates value for both the organization and the customers. Empower consumers with solutions by demonstrating to consumers how environmentally sound products and services can help consumers protect health, preserve the environment for future generations, according to Ottman (2010). Provide performance reassurance of green-based products, as many consumers perceive them to be inferior to conventional products. Consider a suitable mix of media. For instance environmental consumers are more receptive to messages conveyed through direct marketing, 34
  • 35. community programs, public relations, and packaging appeal to consumer self-interest by bringing out the benefits of green products to both actual consumers and potential consumers as is supported by Lasson(2011) Establish Internal Promotion Research which is an important management function since every employee should receive information concerning their jobs, fostering an atmosphere in which all people in the organization respect each other in a working relationship according to Bauer (2013). In support Steingrimsdottir (2011) argues that internal communication is the social glue in an organization that ties people together. Customer expectations should be aligned to the form of communication within the organization across all functions be it horizontal, lateral, grapevine and vertical .To support the above Quirke (2012) proposed that communication tools proved to be important in implementing internal promotion include use of displays, bulletin-boards, internal subjective meetings and inserts and enclosures. 2.2.2.3 Green Promotional tools These include green advertising to let the consumers know they are also responsible to the environment but green advertising should not mislead the consumers Pranee, (2010),the researcher went on and included the relationship of the product and the environment to promote the lifestyle of using green products .In support Conolly and Prothero, (2013) suggested that there are various dimensions in green advertising: One is education-focused which aims to enhance consumers‟ understanding towards the nature and environment; another is commercial- focused which is designed to increase the sales of products or services. Zinkhan & Carlson (2010) refered green advertising as the appeals that try to fulfil consumers‟ needs and aspiration regarding to environmental concern and health issues from different perspectives including ecology, sustainability, and pollution-free messages. In contrast Pfanner, (2012) postulated that though green advertising have been widely recognized and accepted, the credibility, validity, and benefits of green advertising are somewhat controversial due to the use of false green claim, exaggerate and lurid language and ambiguous information This was also supported by Zeithaml & Parasuraman (2013) as they outlined that consumer’s desired level of service, adequate level of service and zone of tolerance can be modified by advertising. In addition Kurtz (2012) agrees with Jobber (2014) who proposes that through green promotion channels such as public relations, 35
  • 36. advertising, sales promotion and personal selling, green promises are made. 2.2.2.4 Effects of green promotion on corporate image Menon,(2011) expressed great concern about the need for improvement and enhancement of firms` green corporate image through green promotion in order to generate long-term customer loyalty in addition Abd-lam (2013) emphasized that, corporate image is a result of communication process in which the organizations create and spread a specific message that constitutes their strategic intent mission, vision, goals and identity that reflects their core values that they cherish in furthermore Easterling et al., (2010) Polonsky (2013) suggested that customers form predicted level of service and corporate image for a particular organization through promises made in green adverts and sales promotions, to support It is the task of the marketer to redirect the needs of the consumer towards consumption that is ecologically least harmful. This redirection can be achieved through green promotion. Benerjee (2010) went further to say green promotion should meet one or more of the following criteria: explicitly or implicitly addresses the relation between a product/service and the bio-physical environment, promotes a green lifestyle with or without highlighting a product/service, presents a corporate image of environmental responsibility ,In support Polonsky (2013) emphasised that the fact that marketing during the past few decades has been so successful in increasing societal consumption and in meeting human needs, make us confident that it will also be successful in redirecting image perception through interaction with consumers, the media, journalists, labor unions, industrial associations, environmental organizations, and other entities that have a direct and indirect impact on public opinion. 2.2.3.1 Eco –production processes strategy Melnyk and Smith (2012) out lined eco –production processes as a system that integrates product and process design issues with issues of manufacturing planning and control in such a manner as to identify, quantify, assess, and manage the flow of environmental waste with the 36
  • 37. goal of reducing and ultimately minimizing environmental impact while also trying to maximize resource efficiency ,Shiino (2011) further elaborated eco –production processes globally as the manufacturing aiming at the symbiosis with the global environment whereas Guo & Yamamoto (2014) put in the essence of sustainability by defining eco –production processes as an advanced manufacturing model to realize the sustainable development of industries. Also Sangwan (2010) in support of the sustainability aspect suggested that eco –production processes is the embodiment of the sustainable development strategy and the cycle economy mode in modern manufacturing furthermore Polcari (2010) took a comprehensive stance by describing it as making a comprehensive commitment to environmentally benign practices across the spectrum of the manufacturing process. Lund, (2012) factored in the aspect of green purchasing to eco –production processes by defining green production as production processes which use inputs with relatively low environmental impacts, which are highly efficient, and which generate little or no waste or pollution Saha & Darnton, (2011) gave green production an economic objectivity by referring eco – production processes as “the application of environmentally and socially sensitive practices to reduce the negative impact of manufacturing activities while, at the same time, harmonising the pursuit of economic benefits”. Taking a step further Rao, (2014) suggested four frameworks commonly used by the industry while greening of production in their factories. These include Cleaner production, Eco-efficiency, Lean production and Total quality environment management. However Kleindorfer (2011) suggested that more mainstream operations management community still lacks, however, a cohesive understanding of green production. While those within the sustainability community may be fully conversant with the interpretations, ideas, and methods associated with Green, this is not necessarily the case with those practitioners and researchers from more mainstream production operations management. It is evident that eco-production processes is a manufacturing mode designed to minimize the environmental impact in the manufacturing processes of products thus a modern manufacturing mode considering both the environmental impact and the resource consumption during the whole product life cycle, from design, fabrication, packaging, transportation, usage, recycling, to waste disposal, and its objective is to minimise the negative environmental impacts and maximise the 37
  • 38. utilization rate of resource, and harmonize optimization of economic benefit and social benefit with the maximum integrated benefit. 2.2.3.2 Elements of eco- production processes Green Packaging characteristics such as size, shape, and materials have an impact on distribution because of their effect on the transport characteristics of the product. In the waste disposal process, a company must comply with regulations regarding collection and disposal of hazardous ,eliminate unnecessary Packaging .Kamal (2012) supported this saying packaging has become an environmental issue for marketing for a number of reasons: • Packaging is a major component of domestic waste and therefore an important contribution to landfill, discarded packaging is very visible as litter, packaging reduction initiatives can reduce the environmental impact of a product while also saving companies money. Retailers also play a role in reducing packaging waste by encouraging suppliers to minimize excess packaging or offering customers “shopping bags for life” to reduce the volume of plastic bags. Kamal (2012) supported the importance of product design suggesting that there are a wide variety of products that support sustainable development and demonstrate commitment to green marketing, including, products made from recycled goods, products that can be recycled or reused; Products with environmentally responsible packaging, organic products; services that rent or loan products-such as car sharing; products that meet or exceed environmentally responsible criteria. Whatever the product or service, it is vital to ensure that products meet or exceed the quality expectations of customers and are thoroughly tested. The aim is to develop an understanding of how design decisions affect a product’s environmental capability and have definite potential to become eco-friendly towards product re-manufacturing. And finally, Kamble, (2010) suggested that considering ecological goals while designing products leads to reduced pollution and the consumption of resources and to enhanced preservation of rare resources at the same time. A green product helps the preservation and improvement of the natural environment along with preserving energy and other resources and reducing or eliminating the use of poisonous substances, pollutant and wastes, simultaneously. Lassner and Schubert, (2011) supported the above in other words saying, a green product is a product that 38
  • 39. does less damage to the environment and is obtained from repairing, re-making, and reproducing, re-using, recycling and reducing processes. Kamble, (2010) went further and formulated, green and stable characteristics of products and services are as follow, designed to meet the actual needs of mankind, would not be harmful to man’s health, are green all through their life-cycles Ho, (2012) also come up with lean production as an eco-production strategies, Lean manufacturing, which is simply known as Lean, because it is a competitive practice that reduces costs, improves environment and quality, and improve corporate image. Lean manufacturing is aimed at the elimination of waste in every area of manufacturing In support of eco- production processes in Support Rao, (2014) included lean production among four frameworks commonly used by the industry while greening of production in their factories,these include cleaner production, eco-efficiency, lean production and Total quality environment management. Reduction of energy consumption is another eco –production process of paramount importance Lukman (2012) stressed this by describing the strategy as a modern manufacturing mode that takes into consideration resource consumption and the environmental impact sustainable production in creating goods by using processes and systems that are non-polluting, that conserve energy and natural resources in economically viable, safe and healthy ways for employees, communities, and consumers and which are socially and creatively rewarding for all stakeholders. 2.2.3.3 Effects of eco- production processes on corporate image. Eco–production affects corporate image in a number of ways, Bari (2012) suggested that corporates can improve their image using the following eco- production strategies developing environmental and technical standards for purchasing machinery, equipment and instruments using advanced technologies for optimizing energy consumption, training right consumption patterns of energy and reduction of energy consumption According to Frosch & Gallopoulos, (2011) production systems, that supply the growing demand for goods, are linked to adverse environment impacts,for example, as developing countries such as Zimbabwe enjoy the benefits of lifestyles close to those of the western societies, the impact of human activities is estimated to rise ten-fold by 2050 negatively impacting the environment and 39
  • 40. concerned corporates images, thus Lisney, Riley & Banks,( 2011)supported the above authors by suggesting that urgent measures are needed to be taken to achieve a pivotal change in the way society in general, and industry in particular, manages natural resources Product design is a critical determinant of corporate environmental impact. In fact, it has been estimated that a full 75% of all the environmental impact a product throws off during its lifetime is determined at the design stage, the purview of manufacturers Green production according to Ninlawan (2010) can lead to lower raw material costs, production efficiency gains, reduced environmental and occupational safety expenses, and improved corporate image as it includes hazardous substance control, energy-efficient technology and waste minimization ,to support the above Srivastava, (2011) suggested that green production can benefit your manufacturing company in many ways, not only it will benefit the environment, but it will impact your consumer, the shareholders, and the company perception in the market thus have a positive effect on corporate image. Eco -production is one of the universally implemented green marketing strategies. It is also an integral component of international conventions and protocols such as the Kyoto Protocol and United Nations Framework Convention to Climate Change aimed at stabilization of greenhouse gases according to Kusena (2014) 2.2.4.1 Green purchasing strategy Rao, (2014) described green purchasing as an environmental purchasing consisting of involvement in activities that include the reduction, reuse and recycling of materials in the process of purchasing thus concept of acquiring a selection of products and services that minimizes environmental impact it is referred to is the practice of companies taking supplier environmental product and process performance into account when purchasing products and service. In addition Zsidisin and Siferd (2012) referred green purchasing as a set of principles, methods under premise of full considering the impact on the environment. Carter (2013) further emphasised the above by stating that in order to facilitate reusing and recycling resource reduction, the purchasing department should participate in every activities of supply chain management and should more concretely purchase reused, recycled materials so as to reduce the use of resources as much as possible. In support Turner (2010) emphasised the importance of green purchasing and pointed out that the 40
  • 41. potential aim of green procurement is to eliminate waste, and purchasing department should focus on value by comprehensive considering the total cost in the process of eliminating waste which should focus on the business of waste disposal activities. Usually, it can save more cost in the source of supply chain to prevent waste than at the end of supply chain. Purchasing activity is the key starting point of eliminating waste, so a key factor of the successful green purchasing is the condition of company recycling and reusing waste. However Galle (2013) suggested two most highly rated obstacles to effective implementing green purchasing was cost and revenue. In the process of implementing green procurement, the enterprise is bound to increase investment, training staff costs and the communication costs with suppliers ,this is supported by Liu Bin, (2011) who suggested that the costs causes the loss of other investment opportunities. Therefore from the above discussion it can be observed that green purchasing green includes the acquisition of recycled content products, environmentally preferable products and services, bio- based products, energy- and water-efficient products, alternative fuel vehicles, products using renewable energy, and alternatives to hazardous or toxic chemicals. 2.2.4.2 Green purchasing dimensions These include the following among others: Purchase materials or parts only from “Green Partners” who satisfy green partner environmental quality standards and pass an audit process in following regulations for the environment-related substances Purchase products that have environmentally-friendly attributes recycled materials, non-toxic ingredients as suggested by Shah (2010) Stock (2012) linked green purchasing and corporate image suggesting that that green purchasing can improve a firm's economic position, by reducing disposal and liability costs, conserving resources, and improving an organization's public image ,the researcher went further to outline measures to improve corporate image as follows developing environmental and technical standards for purchasing raw materials ,providing design specification to suppliers cooperation with suppliers for environmental objectives ,environmental audit for suppliers ,controlling Suppliers’ ISO14000 certification 41
  • 42. Turner (2010) in emphasising the importance of green purchasing pointed out that the potential aim of green procurement is to eliminate waste, and purchasing department will focus on value by comprehensive considering the total cost in the process of eliminating waste ,which should focus on the business of waste disposal activities Carter (2013) suggested reusing and recycling resource reduction, and further advocated that the purchasing department should participate in every activities of supply chain management and should more concretely purchase reused, recycled materials so as to reduce the use of resources as much as possible this require suppliers to implement and maintain an Environmental Management System Require suppliers to have an EMS that meets recognized standards (such as EMAS, ISO 14001, Responsible Care, etc.). Product stewardship as a green purchasing dimension as suggested by Morwitz & Schmittlein, (2011) means active management of all aspects of the product from raw materials to final disposal it is very important to note that the use of environmental management standards is not necessarily going to significantly improve supplier environmental performance. This depends on the standard being applied. 2.2.4.2 Effect of Green purchasing on corporate image Morton (2010) concluded that purchasers and supply chain managers can justifiably argue that corporate image is enhanced through environmental purchasing practice since it demonstrates to a wide audience that the organisation is engaged with the consequences of its operations and activities. It is saying that an organisation is looking beyond the ‘factory gate’ to the impacts of its products and services on the wider community. It is also saying that an organisation is interested in these impacts over time, ultimately from ‘cradle to grave’, rather than only during their immediate use. Morwitz & Schmittlein, (2011) supported the above authors saying in other words, consumers are likely to purchase the products made by companies with good corporate images if the features of products are the same Stock (2012) linked green purchasing and corporate image suggesting that that green purchasing can improve a firm's economic position, by reducing disposal and liability costs, conserving resources, and improving an organization's public image ,the researcher went further to outline 42
  • 43. measures to improve corporate image as follows; developing environmental and technical standards for purchasing raw materials providing design specification to suppliers cooperation with suppliers for environmental objectives environmental audit for suppliers controlling Suppliers’ ISO14000 certification It can be observed that the success of green purchasing as strategy depends on mutual understanding and corporation and collaboration work with suppliers to help them reduce environmental impacts through changes in product design and materials use. 2.2.5 Effect of green marketing strategies on corporate image It is clear that that in both consumer and industrial market, green marketing inclination was the main conditions of gaining the customer trust which is an essential builder of corporate image according to Stock (2012) and supported by Weifang and Yuelei, (2012. Organizations increasingly recognize the importance of corporate image to achieve their goals and stay competitive as advocated by Kim and Lee, (2010). Global market demands and governmental pressures are pushing businesses to become more sustainable Fortes, (2010).new products designed with the environment in mind can excite employees, suppliers and other stakeholders, creating a buzz that signals corporate responsibility and corporate image. Consumers are demanding more transparency on environmental issues, as well as on social ones such as labour conditions, and there are benefits to companies with a positive story to tell and eco-friendly production is one such story in support Nahas (2013) suggested that corporate image goes hand in hand with customer satisfaction which can be brought about by green marketing strategies and it is a very critical aspect in the success of any organisation Kumar and Rahamanin (2011) in research concerning the green marketing adaptation to changing global climate also emphasised that companies are redefining their marketing mix in the context of changing global climate making green marketing strategies a necessity rather than an option as failure to make effort in the context of changing global climate works negatively on corporate image Stock (2012) linked green purchasing and corporate image suggesting that that green purchasing 43
  • 44. can improve a firm's economic position, by reducing disposal and liability costs, conserving resources, and improving an organization's public image in support in addition Ninlawan (2010) suggested Green production can lead to lower raw material costs, production efficiency gains, reduced environmental and occupational safety expenses, and improved corporate image as it includes hazardous substance control, energy-efficient technology and waste minimization. Easterling (2014) suggested that customers form predicted level of service and corporate image for a particular organization through promises made in green adverts and sales promotions last but not least Bruce & Laroiya, (2011) further elaborated that Eco-labels can be a proof used by a firm to inform and show their customers that it has employed environmentally sensitive production or distribution methods . According to Kusena (2014) the primary goal of eco production is pollution prevention by eliminating or reducing waste or emissions generating streams/processes in industrial operations while increasing the organization’s profit margin.it can also produces a better air quality for the employees and the community. Better air quality may be one of the biggest benefits of going green and can add points to one`s corporate image. It can be deduced from the discussions above that green marketing strategies have a role to play in so far as corporate image is concerned ,with the public awareness surrounding going green, it is also important to go green to keep your manufacturing company corporate image intact. 2.4 Summary of Chapter This chapter reviewed literature on green marketing strategies and corporate image having discussed by other writers. The major review and observations were focused on green purchasing, eco-labelling, green promotion and eco-production processes, the next chapter covers research Methodology. CHAPTER 3 RESEARCH METHODOLOGY 3.0 Introduction 44
  • 45. This chapter explained the research design, methods and techniques of data collection that the researcher employed in this study. In this chapter the researcher examined the sampling procedure, describe the population and sample size as well as discussing the sampling techniques used and justify the use of such techniques. It is in this chapter where the researcher gave detail of how data gathered is going to be presented and analysed to enable generation of meaning from the findings pertaining to green marketing strategies effect on corporate image in the cement manufacturing industry of Zimbabwe. 3.1 Research philosophy Research philosophy is a belief about the way in which data about a phenomenon should be gathered analysed and used thus the researcher opted for pragmatism guidance, a philosophical tradition that began in the United States around 1870. Pragmatism is a rejection of the idea that the function of thought is to describe, represent, or mirror reality, instead, pragmatists develop their philosophy around the idea that the function of thought is as an instrument or tool for prediction, action, and problem solving. Pragmatists contend that most philosophical topics such as the nature of knowledge, language, concepts, meaning, belief, and science are all best viewed in terms of their practical uses and successes rather than in terms of representative accuracy. Pragmatism enabled the researcher to apply mixed methods research in that inquirers draw liberally from both quantitative and qualitative assumptions when they engage in their research, it also helps the researcher because it does not rely on one method and it identifies the best way of doing research the researchers have a freedom of choice. The researcher is “free" to choose the methods, techniques, and procedures of research that best meet their needs and purposes. Pragmatism also gives the researcher the guidelines and is the best way of doing research. However it does not enable researcher to interpret the data, different methods may provide opposing results and this need to be considered in the design of the methodology and the interpretation of the results. The philosophy is also complex, however researcher has interpersonal skills 3.2 Research Design 45
  • 46. Research design is, the overall plan or program of research, thus research design is the general blue print for the collection, measurement and analysis of data, the plan and structure of the investigation in order to obtain answers to the research questions. Researcher clearly understood that there are many different methods that could be used in research design which included exploratory, descriptive and casual research method. From the above definition the researcher also understood that problem solving should be well thought out, it enable the researcher to clearly draw the road map to what the researcher evaluated. 3.2.1 Exploratory Research Refers toan investigation into a problem or situation which provides insights to the researcher, the research is meant to provide details where a small amount of information exists. The focus is on gaining insights and familiarity for later investigation or undertaken when problems are in a preliminary stage of investigation. It may use a variety of methods such as trial studies, online, libraries and academic literature interviews, group discussions, experiments, or other tactics for the purpose of gaining information. Exploratory research is, “a research design in which the major emphasis is on gaining ideas, insights, it is particularly helpful in breaking broad vague problem statements into smaller more precise sub problems.” This type of research seeks to gather preliminary data, hence, the researcher employed it in the initial stages of the research project and established the green marketing strategies being used by the three cement manufacturers. Exploratory Research sheds light on the real nature of the problem as to why customers, members of the community, and all stakeholders have now conceived this negative corporate image of the industry and gives the researcher to generate insights about what was causing the bad corporate image in the industry, the research did eliminate the uncertainty and ignorance concerning the general information about green marketing strategies, primary sources of data particularly questionnaires and interviews as well as secondary data sources such as news real’s and journals, reports from the company sales and marketing director and also text books were employed, enabling the researcher to plan and design instruments of gathering data. However the researcher will not be able to provide conclusive information the research process 46
  • 47. underpinning exploratory studies is flexible but often unstructured, leading to only tentative results that have limited value in decision-making. 3.2.2 Descriptive Research Descriptive research is the efficient way of collecting information about one or more groups of people the main aim is to learn about large sample population, it refers to research studies that have as their main objective the accurate portrayal of the characteristics of persons, situations or groups, descriptive research can be described as a non- experimental research design used to observe (and measure) a variable when little conceptual background has been developed on specific aspects of the variables under study ,it covers research designs that are intended to produce accurate descriptions of variables relevant to the decision being faced without demonstrating that some relationship exists between variables. The researcher used descriptive research to get a closer view of the problem particularly negative corporate image in cement manufacturing industry. The researcher used descriptive statistical methods such as frequency tables, average percentages and cross tabulations to describe and summarize responses to research questions. The study was used to specify the types of green marketing strategies being used by the industry, to determine the challenges it faces in implementing these green marketing strategies, and to examine the customers’ perceptions on the corporate image of the industry. The researcher was in a better position to clearly define green marketing strategies and to evaluate its effect on corporate image. However the researcher will have lack of control over timeless and potentially low response rate and also the researcher will have difficulty in determining whether respondents are responding truthfully. 3.3 Target population Target population is composed of all of the individuals of interest to the researcher, the target group which the researcher wants to know about by studying one or more of its samples. Target population refers to the total group of individuals from which the sample is drawn from. In this 47
  • 48. case, the target population of this study was two thousand (2000) Customers; one hundred and fifty (150) middle management team and 60 senior managers according to customer data bases and Human resources departments of Lafarge, PPC and Sino cements .Total population under study is therefore 2210 3.4 Sampling methods and techniques A sample is a subset of the target population from which information is gathered to estimate something about the population. This plan calls for three decisions, which include the sampling unit, sampling procedure and sample size. The researcher will employ two sampling methods namely probability and non-probability which will allow for a balanced response. On the non-probability sampling the researcher will use the judgemental sampling method and on the probability sampling the researcher will use the simple random sampling and stratified random sampling. 3.4.1 Sampling Procedure Sampling procedure are the means by which sample elements are selected from the targeted populations after major decisions concerning the sampling unit and sample sizes have been made. The researcher used both probability and non- probability sampling methods. 3.4.1.1 Non- Probability Sampling Non-probability sampling, describes an approach in which some units of the population have no chance of being selected or where the probability of selection cannot be accurately determined. Non-probability sampling is a quick way to collect and analyze data in range of settings with diverse populations. This approach is also a cost-efficient means of greatly increasing the sample, thus enabling more frequent measurement. There are several non- probability sampling methods which include convenience sampling; judgmental sampling; quota sampling and snowball sampling. 48
  • 49. The researcher used judgmental sampling method in sampling senior management as they had specialised areas of management after determining the number of senior management for interviewing researcher employed judgmental sampling to choose senior managers from the following departments marketing, finance, human resources, environmental ,purchasing and production managers as they had detailed information about green marketing strategies and corporate image. 3.4.1.2 Probability sampling Probability sampling technique wherein the samples are gathered in a process that gives all the individuals in the population equal chances of being selected, there are various probability sampling techniques that can be used that include simple random sampling, stratified sampling, systematic sampling, cluster sampling and multistage sampling, the researcher used simple random sampling method. If random selection was done properly, the sample is therefore representative of the entire population, simple random sampling was used by the researcher in sampling customers and middle managers. 3.4.2 Sample Frame A sample frame is the physical material from which samples are chosen, is a type of record in which research units and /or their attributes are registered. The sample frame for this study was cement customer data bases obtained from the Marketing departments and from management data bases obtained from the Human Resources Departments, of the three cement manufactures. Respondents Customers Middle Managers Senior Managers Population 2000 120 60 Table 3.4 Sample Frame 49
  • 50. 3.4.3 Sampling unit A sample unit is a basic unit containing the elements of the population to be sampled. The sampling unit in this study comprises of customers, and managers, of the three cements manufactures who have knowledge on the green marketing strategies that have been employed in the cement manufacturing industry as well as the corporate image obtaining in the sector. 3.4.4 Sample Size Referred to as, “the number of elements or units of the population to be sampled.” A sample size is the part of the population who really participate in the study. It refers to how many people should be surveyed. Although it is believed that the larger the sample size, the lower the likely error in generalizing to the population., however, it is not necessary to sample the entire target population or even a substantial portion to achieve reliable results collecting data from fewer participants means that you can collect more detailed information. Determining the correct sample size is vital as the incorrect sample size may bring about results that are irrelevant and findings and recommendations will be inappropriate Samples of less than 10% of the population can often provide reliable information, with a credible sampling procedure.10 % of the population is the minimal recommended number according to Bovee and Thill (1999) the researchers suggested that for descriptive studies 10% of the accessible population is enough hence the researcher used the 10% sampling fraction as the study is largely descriptive as follows; for the sample size. f = n/N = 10% therefore 10% of 2210 gave 221 as the sample size of the research Therefore the sample size for this study is tabulated below: Respondents Customers Managers Senior Managers 50
  • 51. Population 2000 150 60 Sample size(10% of Population) 200 15 6 Table 3.5 sample size 3.5 Data Sources They are a wide variety of methods to consider, either singly or in combination, both primary and secondary data sources 3.5.1 Secondary data Secondary data is already available information either internally or externally, having being collected for other purposes, the researcher obtained existing data through companies news real’s, journals, and reports from the three cement manufacturing companies sales and marketing Executives. This information set the foundation to the study and through company records; which made the researcher come up and conclude the research problem. Secondary data was used because it is an economic source since published reports and information were already compiled and could be easily obtained, which saved the researcher from high costs associated with data collection. 3.5.2 Primary data Interviews for senior management and questionnaires for middle managers and customers were used to collect information on the effect of green marketing strategies in managing corporate image in the cement manufacturing sector. Primary data is collected especially to address specific research objectives. A variety of primary sources, ranging from qualitative research to surveys, to experiments was employed for data 51