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Corporate Adaptation Behaviour to Deal With Climate Change: The Influence of Firm‐Specific Interpretations of Physical Climate Impacts

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  • Federica Gasbarro
  • Jonatan Pinkse

Abstract

While business tends to be seen as a substantial factor in causing climate change, climate‐induced physical changes can also pose major challenges to firms in return. Firms can reduce their vulnerability to these changes by defining and implementing an adaptation strategy. Based on an empirical analysis of the oil and gas industry, this paper examines how the way firms interpret climate events in terms of awareness and vulnerability informs their measures to adapt to climate‐induced physical change. In the empirical analysis, the paper derives four types of adaptation behaviour – pre‐emptive, reactive, continuous, and deferred adaptation – that correspond with different degrees of awareness and vulnerability. The paper concludes with implications for management practice and policymakers. Copyright © 2015 John Wiley & Sons, Ltd and ERP Environment.

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  • Federica Gasbarro & Jonatan Pinkse, 2016. "Corporate Adaptation Behaviour to Deal With Climate Change: The Influence of Firm‐Specific Interpretations of Physical Climate Impacts," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 23(3), pages 179-192, May.
    • Handle: RePEc:wly:corsem:v:23:y:2016:i:3:p:179-192
    DOI: 10.1002/csr.1374
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    6. Agnieszka Karman, 2022. "The Homogenization of Carbon Management Practices: How Organizations Response to Isomorphic Pressures to Reduce GHG Emissions," European Research Studies Journal, European Research Studies Journal, vol. 0(1), pages 148-173.
    7. Mathews, Shilpita & Surminski, Swenja & Roezer, Viktor, 2021. "The risk of corporate lock-in to future physical climate risks: the case of flood risk in England and Wales," LSE Research Online Documents on Economics 112807, London School of Economics and Political Science, LSE Library.
    8. George Halkos & Antonis Skouloudis & Chrisovaladis Malesios & Konstantinos Evangelinos, 2018. "Bouncing Back from Extreme Weather Events: Some Preliminary Findings on Resilience Barriers Facing Small and Medium‐Sized Enterprises," Business Strategy and the Environment, Wiley Blackwell, vol. 27(4), pages 547-559, May.
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    10. Cinthia Leonora Murillo‐Avalos & Mitzi Cubilla‐Montilla & Miguel Ángel Celestino Sánchez & Purificación Vicente‐Galindo, 2021. "What environmental social responsibility practices do large companies manage for sustainable development?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(1), pages 153-168, January.
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