Green Premium & Greenwashing Trust Simulator

Business Strategy

Green price premium 18%

Genuine impact investment 55%

Marketing / growth push 40%

Quarter 0 — startup launched.

Live Readouts

Brand trust R

62 / 100

Market share

Green financing access F

Quarter

Cash reserves

$50k

How it works

Each customer particle has a personal price sensitivity s_i. Every quarter it decides whether to buy from the "green" startup using a logistic adoption rule driven by brand trust R and the price premium:

P(buy)_i = 1 / (1 + exp(-(R/20 - k · premium · s_i)))

Brand trust follows a reputation ODE: genuine impact investment g raises it, marketing without matching substance erodes it, and it decays slowly toward a neutral baseline without upkeep:

dR/dt = α·g·(1-g)·10  +  α·g·growth
        − β·(1-g)·growth
        − γ·(R − R0)

An independent audit compares g against the marketing push: if the "greenwashing gap" (1-g)·growth is large, trust takes a sharp penalty and disloyal customers scatter outward from the brand core — otherwise trust gets a credibility boost. Green financing access is a weighted blend of current trust and the accumulated genuine-impact score:

F = clamp(0.6·R + 0.4·ImpactScore, 0, 100)

Price premium — how much extra the eco-positioning charges; higher premium filters out price-sensitive customers unless trust is high.
Genuine impact investment — the share of budget spent on real sustainability work rather than marketing; this is what an audit actually checks.
Marketing / growth push — accelerates customer acquisition but, if not backed by real impact, widens the greenwashing gap and risks a scandal.
Trigger Independent Audit — forces the scandal/credibility check immediately instead of waiting for the random per-quarter roll.

This mirrors real eco-entrepreneurship: businesses built on genuine environmental impact earn durable trust and better access to green financing (ESG-linked loans, impact investors), while impact claims unsupported by real investment collapse under scrutiny.

Loyal customer Wavering customer Lost customer Brand core (glow = financing access)

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