Final answer:
Companies creating a reputation for environmental excellence with products and services catering to environmentally conscious consumers are engaging in Brand differentiation.
Step-by-step explanation:
When companies develop a reputation for environmental excellence, and they produce and deliver products and services designed to attract environmentally aware customers, this is referred to as Brand differentiation. This involves making greener, efficient, longer-lasting products that are free of hazardous substances, and reducing environmental impacts through company operations. This business strategy aims to make sustainability synonymous with the company's brand, often leading to a competitive advantage as consumers increasingly seek out eco-friendly options.