The Chevron Corporation is one of the major oil companies. In fact it is the second largest energy company in the United States, and has operations in over 180 countries. It controls such retailers of gas as Texaco and Caltex. Therefore this corporation supplies many countries with their fossil fuel needs. However, due to the increased focus of consumers on environmentally friendly procedures in business the company launched an advertising campaign, which focuses on the question “Will you join us?”(Schwietert, 2009).
This campaign details individuals declaring how they have reduced their oil consumption. This advertisement appears to be fulfilling consumers belonging or esteem needs in Maslow’s Hierarchy of needs. Unfortunately, Chevron has failed to meet consumers more basic need of safety.
This corporation is regularly fighting environmental lawsuits due to its lack of care for the green aspect of its production. In the process of production the corporation has been careless and environmentally unsafe. This fact can be shown in 2010 when a Chevron pipeline in Utah ruptured. This caused 33,000 gallons of crude oil to leak into a creek, which threatened to contaminate the Great Salt Lake.
The corporation repaired the leak within two days, and was forced to pay the local government $50,000. The corporation is also careless in its disposal of toxic waste from its production process. In fact the Ecuadorian court in 2011 declared it must pay an $18 billion fine for dumping over 18 billion gallons of toxic waste from oil drilling into the Amazon jungle between 1964 and 1990. This illegal dumping caused over 1400 cancer related deaths. However, it still is unclear whether the payment of these fines will be enforced. Additionally the corporation will be fined at least $1.5 million for leaking a gas additive into San Juan Capistrano's (in California) water supply.
Clearly the product aspect of Chevron’s green marketing strategy is not up to standard. However, due the enormous fines the company continuously has to pay because of its disgraceful damaging environmental acts, the consumers will likely have to pay a higher price for the product. The fact that fossil fuel resources are quickly disappearing worldwide does not help this pricing issue. This leads to the corporation lacking the ability to meet the consumers’ physiological needs, due to their inability to heat their homes because of the constantly increasing oil and gas prices.
The company is also failing in meeting the consumers belonging needs. If the cost of car fuel keeps increasing many consumers will not be able to afford to drive their car, which is seen as the social norm, therefore the consumer will feel out of sync with society as a whole. Chevron is a massive international corporation with operates on a worldwide platform. Its products are used daily and are readily available.
It does have a great deal of competition from other oil companies worldwide, however, its lack of satisfactory green marketing strategy may prevent it from singling itself out from these companies. Due to the fact that consumers are increasingly more eco-friendly they will be more adverse to Chevron and their anti-environmental acts, despite their advertising campaigns.
This could negatively affect the areas available to the corporation to distribute its product. This results in the corporation again failing to meet the consumers safety and belonging needs. As mentioned previously Chevron launched their “Will you join us?” advertising campaign through which they attempted to promote themselves as an eco-friendly corporation.
This technique is called green washing, which is “when a company or organization spends more time and money claiming to be ‘green’ through advertising and marketing than actually implementing business practices that minimize environmental impact. It’s whitewashing, but with a green brush.”(Schwietert, 2009) The corporation attempted to use this technique as their green marketing strategy, this was clearly a failure. This eco-friendly campaign is highly overshadowed by the numerous litigations taken against the corporation due to their appalling environmental activity.
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