Describe precisely how an activist organization like Greenpeace can act as a reference group. Furnish a specific example of a way in which Greenpeace has influenced an organization

Question

What will be an ideal response?

Answer 1

Reference groups can be external organizations which people look to for cues to guide their decision-making. Such organizations sometimes take on the role of non-media connectors that monitor the behavior of companies, whether or not the companies desire that attention or not. The environmental activist group Greenpeace provides an example of such a reference group. Greenpeace is concerned about humanity's effect on the planet. The organization attracts many members and also is visible to a wide range of constituents. Greenpeace is able to generate a lot of attention through the media, and more recently, through green-minded contributors to the blogosphere.

In 2007, Apple felt Greenpeace's power as a reference group following the launch of the iPhone. Greenpeace issued a report just months after the product launch, explaining that the product contained levels of toxic materials that might harm the environment. From a marketing perspective, this report had a significant effect on Apple's reputation and will continue to tarnish the firm's image as long as the report remains in the news and accessible to consumers. Communication on Apple's Web site provides evidence that Apple is trying hard to build an environmentally conscientious company, extolling the virtues of making environmental concerns integral to the firm.

While the short-term outcome of Greenpeace's attention to Apple might appear bothersome to Apple, in the long term Apple may benefit from such attention. Apple has an incentive to become the first firm to design a cell phone that conforms to Greenpeace's standards.