ABSTRACT
Business discussions are proliferating on how climate change already is disrupting corporate supply chains. As with mitigation, many market barriers can impede a societally optimal level of adaptation, and public policy can help overcome those barriers. It would be natural for companies to approach the climate change adaptation conversation skeptically given their perceived experience with climate change mitigation. Successful companies adapt to changes in their business and risk environments. Some business leaders express increasing concern over the growing level of risk based on increasing climate hazards, exposure and vulnerability. PWC's Business Leadership on Climate Change Adaptation explores rationales for undertaking adaptation efforts, from lower insurance rates and better employee health to improvement in a company's reputation and market competitiveness and justification of companies' 'license to operate'. Many of these rationales resemble those given for corporate mitigation efforts a decade or more ago.
