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An inside perspective on carbon disclosure

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  • Blanco, Christian
  • Caro, Felipe
  • Corbett, Charles J.

Abstract

Part of the underlying vision of CDP (formerly the Carbon Disclosure Project) is to enhance firms’ climate change strategies by encouraging them to measure their emissions and corresponding risks and opportunities. Drawing on interviews with 38 firms in seven countries that disclose to CDP, we found that the benefits firms experience from the measurement and disclosure process are more diverse in nature than expected. They can be both operational and strategic, and internal as well as external. From our analysis of the firms’ experiences, we draw several implications for managers. First, managers should beware of various biases that may inhibit investments in profitable emission reduction opportunities. Second, participating in a disclosure-oriented process can be beneficial, even for a firm that ultimately decides not to disclose. Third, when disclosing greenhouse gas-related information, managers need to address multiple groups of stakeholders, not just investors. Fourth, when searching for emission reduction opportunities and in organizing the disclosure process, managers should not neglect opportunities that exist elsewhere in the supply chain.

Suggested Citation

  • Blanco, Christian & Caro, Felipe & Corbett, Charles J., 2017. "An inside perspective on carbon disclosure," Business Horizons, Elsevier, vol. 60(5), pages 635-646.
  • Handle: RePEc:eee:bushor:v:60:y:2017:i:5:p:635-646
    DOI: 10.1016/j.bushor.2017.05.007
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    References listed on IDEAS

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    Cited by:

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    3. Lee, Jun-Yeon & Choi, Sungyong, 2021. "Supply chain investment and contracting for carbon emissions reduction: A social planner's perspective," International Journal of Production Economics, Elsevier, vol. 231(C).
    4. Chensi Guo & Wenyan Pan, 2022. "Research on Voluntary Carbon Information Disclosure Mechanism of Enterprises from the Perspective of Stakeholders—A Case Study on the Automobile Manufacturing Industry," IJERPH, MDPI, vol. 19(24), pages 1-15, December.
    5. Federico Galán-Valdivieso & Laura Saraite-Sariene & Juana Alonso-Cañadas & María del Carmen Caba-Pérez, 2019. "Do Corporate Carbon Policies Enhance Legitimacy? A Social Media Perspective," Sustainability, MDPI, vol. 11(4), pages 1-23, February.
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    7. Biying Zhao & Licheng Sun & Siying Gao, 2022. "Effects of Government Regulations on Under-Reporting of Carbon Emission Transfers by Enterprises in Supply Chains," Sustainability, MDPI, vol. 14(15), pages 1-24, July.
    8. Christian C. Blanco, 2021. "Supply Chain Carbon Footprinting and Climate Change Disclosures of Global Firms," Production and Operations Management, Production and Operations Management Society, vol. 30(9), pages 3143-3160, September.
    9. Sharma, Amalesh & Pathak, Surya & Borah, Sourav Bikash & Adhikary, Anirban, 2022. "Collaboration strategies in buyer-supplier relational (BSR) networks and sustainable firm performance: A trade-off story," International Journal of Production Economics, Elsevier, vol. 253(C).
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