Green Marketing Mix Role Toward Sustainability Performance of Petrochemical Industry
in Indonesia
Yuary Farradia and Abdul Talib Bon
Faculty of Technology and Management
Universiti Tun Hussein Onn
Batupahat, Johor , Malaysia
juaryfarradia@yahoo.com, talibon@gmail.com
Tutus Rully
Faculty of Economics
Universitas Pakuan, Bogor, Indonesia
tutusrully@rocketmail.com
Abstract
Petrochemical industry plays a vital role in the economic growth of a nation then petrochemicals is also considered as a cost-based industry. Indonesia has higher demand growth against the global demand growth. Therefore, to achieve the industry economic sustainability it is a need to have a better management strategy toward production efficiency. Thus firms should try to incorporate the 4 Ps’ of marketing mix such as green product, green price, green distribution and green promotion into green marketing. The concept of green marketing mix pertains to the elements that are designed to achieve the strategic and financial goals of a firm, particularly in terms of reducing their negative (or increasing their positive) effects on the natural environment. This study was conducted among petrochemical olefin manufactures based in Banten Province Indonesia. The result showed that green marketing mix directly has a positive effect on sustainability economic performance, environment performance and social performance respectively. In addition, green marketing mix has already start to be run within petrochemical industry in Indonesia.
Keywords
Sustainability, Green Marketing Mix, Petrochemical, Green Product, Green Price, Green Distribution, Green Promotion