In this article we first define and describe the concept and main points of environmental friendly marketing. We present the six important steps that must be followed to have a successful marketing strategy. We make a short introduction into cost benefit analysis, present the basic points of the cost benefit analysis theory and define the various types of benefits and costs.
As a conclusion, an example in the sector of “passive” houses (Niedrigenergiehäusern) is presented, in order to evaluate the options that a consumer has to choose from, when facing the residence dilemma.
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Table of Contents
1. Abstract
2. Marketing and Environmental-Friendly Marketing
3. Cost Benefit Theory
4. Application of a Benefit Cost Analysis
Research Objectives and Topics
The primary objective of this work is to explore the concept of environmental-friendly marketing and demonstrate how cost-benefit analysis serves as a decision-making tool for consumers, particularly when evaluating sustainable housing options versus conventional alternatives.
- Conceptual definition and core pillars of environmental-friendly marketing.
- Methodological framework for successful sustainable marketing strategies.
- Theoretical foundation of cost-benefit analysis in consumer behavior.
- Practical application: Evaluating the benefits and costs of "passive" houses.
Excerpt from the Book
Basic benefits
The basic benefits of buying a “passive” house are the benefits that are related to its nature and its use. So we can point out as benefits the following:
“Passive” houses offer first of all reduced energy consumption and thus reduced living costs. This is the major benefit that all “passive” house constructors point out, but there are more:
In that way, “passive houses” also offer an “insurance” against further rises of the prices in the energy sector.
“Passive” houses offer due to their good isolation and air flow systems, better living conditions in terms of comfort, health and clean air. ( Fraefel, 1998)
The special filters that are placed in the air flow systems are ideal in preventing the dust and the microorganisms that are the cause of allergies.
The materials used for the construction of a passive house are of the highest standards and so the expected lifetime of the house is much bigger than that of a conventional house and also due to that reason its re-selling price is higher.
Summary of Chapters
Abstract: Provides a concise overview of environmental-friendly marketing concepts and introduces the practical application of cost-benefit analysis in the context of residential choices.
Marketing and Environmental-Friendly Marketing: Outlines six essential steps for implementing sustainable marketing and categorizes consumers based on their willingness to adopt ecological products.
Cost Benefit Theory: Examines the theoretical basis of individual decision-making, balancing personal preferences and constraints against perceived benefits and costs.
Application of a Benefit Cost Analysis: Demonstrates the practical utility of the theory by evaluating the investment and living benefits of passive houses compared to traditional homes.
Keywords
Environmental-friendly marketing, Cost benefit analysis, Consumer behavior, Passive houses, Sustainability, Marketing strategy, Life Cycle Analysis, Ecological consumers, Decision-making, Energy efficiency, Product life cycle, Consumer demands, Social awareness, Market competition, Residential dilemma.
Frequently Asked Questions
What is the core focus of this publication?
The work investigates the integration of environmental considerations into marketing strategies and how consumers apply cost-benefit logic to sustainable choices.
What are the primary thematic areas covered?
The paper covers environmental-friendly marketing frameworks, consumer segmentation, cost-benefit theory, and specific case studies on passive housing.
What is the central research question?
The central goal is to determine whether a "passive" house is an investment that should be preferred over a conventional house based on a systematic cost-benefit comparison.
Which scientific methodology is utilized?
The author uses a qualitative and analytical approach, incorporating Life Cycle Analysis (LCA) and economic behavior models to categorize costs and benefits.
What topics are discussed in the main body?
The main body details the six steps of environmental-friendly marketing, defines the cost-benefit behavior function, and breaks down various cost and benefit types.
Which keywords best characterize this work?
Key terms include Environmental-friendly marketing, Cost benefit analysis, Passive houses, and Sustainability.
How does "normative" marketing differ from mainstream marketing?
Mainstream marketing views individuals as passive consumers influenced by advertisements, whereas normative environmental-friendly marketing views consumers as members of society with shared responsibilities.
Why are "passive houses" used as a specific example?
Passive houses serve as a practical case study to demonstrate how long-term utility, environmental benefits, and higher initial costs influence consumer decision-making.
How does the author define "acquisition costs"?
Acquisition costs include not just the purchase price, but also information costs, controlling costs, and transportation costs associated with obtaining a new product.
- Quote paper
- Dipl.-Wirtsch.-Ing. Loukas Bellonias (Author), 2008, Cost Benefit Analysis in Environmental Friendly Marketing, Munich, GRIN Verlag, https://www.grin.com/document/118930
