ABSTRACT

Crafting winning corporate strategy has never been easy but it is about to get a whole lot more complicated. The challenge of retaining economic stability as resource limits are reached, and the consequences of climate change hit home, will shake the foundations of the corporate world. The disruption will generate huge opportunities which can be exploited if business leaders have the foresight and courage to take off the blinkers of orthodox corporate strategy and are willing to adopt a different mind-set. The facts of climate change are broadly accepted and although at global level there is no workable plan of action, the fact that there must be change to the fossil-fuel economy is clear. The defenders of the status quo are now few and are becoming marginalized. Europe may have been the incubator for sustainability policy but the tide may turn away from Europe, where there has been early progress, to the United States as the Republican Party shifts its position removing a key block to action. In China, the leadership has made clear its intention to clean up its act and stake a claim to the new low-carbon economy. The scene is set for radical change across all markets as the policy framework is reconfigured, partly through deliberate policy but mainly through the unstoppable force of circumstances beyond government and corporate control.