ABSTRACT
Business has to prepare for climate risk, and there is no question that business climate risk can substantially be managed or positioned for. A variety of measures can contribute to companies' efforts to shift their climate risk probabilities. Considerable improvement in this arena has occurred since the first corporate emissions inventories by companies like Stonyfield Farm and Nike more than 15 years ago and the first offset project undertaken in Guatemala by AES Corp. A climate risk positioning strategy can help a company adopt a proactive and 'ready-to-respond' approach to changing climate risk context, particularly for risks that can't be materially or cost-effectively mitigated today, whether due to technical or policy uncertainties. Climate risk positioning strategies can make companies 'response-ready' for climate risks that will evolve, or that can't be materially or cost-effectively mitigated today.
