Have a personal or library account? Click to login

Business Models and Their Impact on Climate Change: A Comprehensive Review of Recent Literature

By:
Open Access
|Jul 2025

References

  1. Acevedo, S., Mrkaic, M., Novta, N., Pugacheva, E., & Topalova, P. B. (2020). The effects of weather shocks on economic activity: What are the channels of impact? Journal of Macroeconomics, 65(1), Article 103207.
  2. Bansal, R., Kiku, D., Ochoa, M., 2016. Price of Long-run Temperature Shifts in Capital Markets (no. w22529). National Bureau of Economic Research.
  3. Bansal, R., Ochoa, M., Kiku, D., 2017. Climate Change and Growth Risks (No. w23009). National Bureau of Economic Research.
  4. Bolton, P., Kacperczyk, M., 2021. Do investors care about carbon risk? J. of Financ. Econ. https://doi.org/10.1016/j.jfineco.2021.05.008 (Forthcoming).
  5. Bourdeau-Brien, M., Kryzanowski, L. The impact of natural disasters on the stock returns and volatilities of local firms, Q. Rev. Econ. Finance 63 (2017) 259–270.
  6. Buonocore, R.J., Aste, T., Di Matteo, T. Measuring multiscaling in financial time-series, Chaos Solitons Fractals 88 (2016) 38–47.
  7. Chaoping, Q., Yu, M., Meng, D., Xiaoxian, M., Yuan, X., Xiangjun, Z. (2025). Impacts of climate change on inflation: An analysis based on long and short term effects and pass-through mechanisms. International Review of Economics and Finance 98, 103846.
  8. Chava, S., 2014. Environmental externalities and cost of capital. Manag. Sci. 60 (9), 2223–2247
  9. Cogan, D.G., 2008. Corporate Governance and Climate Change: The Banking Sector. Ceres, Inc., Boston.
  10. Danese, G., De Marchi, V. (2024). Business adaptation strategies to climate change: A systematic review. Journal of Cleaner Production 485, 144322
  11. Dell, M., Jones, B. F., & Olken, B. A. (2012). Temperature shocks and economic growth: Evidence from the last half century. American Economic Journal: Macroeconomics, 4(3), 66–95.
  12. Ding, L.-L., Lei, L., Zhao, X., & Calin, A. C. (2020). Modelling energy and carbon emission performance: A constrained performance index measure. Energy, 197, 117274. https://doi.org/10.1016/j.energy.2020.117274
  13. Duan, W., Khurshid, A., Khan, K., & Calin, A. C. (2024). Transforming industry: Investigating 4.0 technologies for sustainable product evolution in china through a novel fuzzy three-way decision-making process. Technological Forecasting and Social Change, 200, 123125. https://doi.org/10.1016/j.techfore.2023.123125
  14. Fakhry, B., Aktan, B., Masood, O., Tvaronavičiene, M., Celik, S. The impact of a recent natural disaster on the Japanese financial markets: Empirical evidence, J. Competit. 10 (2) (2018) 56.
  15. Fard, A., Javadi, S., Kim, I., 2020. Environmental regulation and the cost of bank loans: international evidence. J. Financ. Stab. 51, 100797.
  16. Fraj E, Matute J, Melero I (2015) Environmental strategies and organizational competitiveness in the hotel industry: the role of learning and innovation as determinants of environmental success. Tour Manag 46:30–42
  17. Ilhan, E., Krueger, P., Sautner, Z., Starks, L.T., 2020. Climate Risk Disclosure and Institutional Investors. Swiss Finance Institute Research Paper, pp. 19–66
  18. Javadi, S., Masum, A.-A. The impact of climate change on the cost of bank loans. Journal of Corporate Finance 69 (2021) 102019
  19. Kaplanski, G., Levy, H. Sentiment and stock prices: The case of aviation disasters, J. Financ. Econ. 95 (2) (2010) 174–201.
  20. Kemfert, C., Sch¨afer, D., Semmler, W., & Zaklan, A. (2019). Green finance:The macro perspective. Vierteljahrshefte zur Wirtschaftsforschung, 88(2), 6–9.
  21. Khurshid A, Rauf A, Calin AC, Qayyum S, Mian AH, Fatima T (2021) Technological innovations for environmental protection: role of intellectual property rights in the carbon mitigation efforts. Evidence from western and southern Europe. Int J Environ Sci Technol 2021:1–16. https://doi.org/10.1007/s13762-021-03491-z
  22. Khurshid, A., Rauf, A., Calin, A.C. et al. Technological innovations for environmental protection: role of intellectual property rights in the carbon mitigation efforts. Evidence from western and southern Europe. Int. J. Environ. Sci. Technol. 19, 3919–3934 (2022). https://doi.org/10.1007/s13762-021-03491-z
  23. Kong, D., Lin, Z., Wang, Y., Xiang, J. Natural disasters and analysts’ earnings forecasts, J. Corp. Finance (2020) 101860.
  24. Krueger, P., Sautner, Z., Starks, L.T., 2020. The importance of climate risks for institutional investors. Rev. Financ. Stud. 33 (3), 1067–1111.
  25. Kumar, N., Poonia, V., Gupta, B.B., Goyal, M.K., 2021. A novel framework for risk assessment and resilience of critical infrastructure towards climate change. Technol. Forecast. Soc. Change 165, 120532. https://doi.org/10.1016/j.techfore.2020.120532.
  26. Lanfear, M.G., Lioui, A., Siebert, M.G. Market anomalies and disaster risk: Evidence from extreme weather events, J. Financial Mark. 46 (2019) 100477.
  27. Lee, H.-Y., Wu, H.-C., Wang, Y.-J. Contagion effect in financial markets after the South-East Asia tsunami, Res. Int. Bus. Finance 21 (2) (2007) 281–296.
  28. Li, Z., Khurshid, A., Rauf, A., Qayyum, S., Calin, A. C., Iancu, L. A., & Wang, X. (2023). Climate change and the UN-2030 agenda: Do mitigation technologies represent a driving factor? New evidence from OECD economies. Clean Technologies and Environmental Policy, 25(1), 195–209. https://doi.org/10.1007/s10098-022-02396-w
  29. Linnenluecke, M.K., Birt, J., Griffiths, A., 2015. The role of accounting in supporting adaptation to climate change. Account. Finance 55 (3), 607–625. https://doi.org/10.1111/acfi.12120.
  30. Liu, H., Y. Jiang, A. Khurshid, S. F. Saleem, and A. C. Calin. 2024. “ How Green Strategies and Policies Influence Production-Based Emissions, Industrial Development and Sustainable Development Goals?.” In Natural Resources Forum. Oxford, UK: Blackwell Publishing Ltd. https://doi.org/10.1111/1477-8947.12574.
  31. Liu, R., Di Matteo, T., Lux, T. True and apparent scaling: The proximity of the Markov-switching multifractal model to long-range dependence, Physica A 383 (1) (2007) 35–42.
  32. Melloni, G., 2020. Climate change reporting. Die Unternehmung 74 (3), 312–323.
  33. Muchenje, L. T. (2025). Stock liquidity and corporate climate performance: evidence from China. Journal of Financial Stability, 77, 101389. https://doi.org/10.1016/j.jfs.2025.1
  34. Pagnottoni, P., Spelta, A., Flori, A., Pammolli, F. Climate change and financial stability: Natural disaster impacts on global stock markets. Physica A 599 (2022) 127514.
  35. Painter, M., 2020. An inconvenient cost: the effects of climate change on municipal bonds. J. Financ. Econ. 135 (2), 468–482.
  36. Panwar, V., Sen, S. Economic impact of natural disasters: An empirical re-examination, Margin: J. Appl. Econ. Res. 13 (1) (2019) 109–139.
  37. Roncoroni, A., Battiston, S., Escobar-Farfán, L.O., Martinez-Jaramillo, S. Climate risk and financial stability in the network of banks and investment funds, J. Financ. Stab. 54 (2021) 100870.
  38. S. Dietz, A. Bowen, C. Dixon, P. Gradwell ‘Climate value at risk’ of global financial assets Nat. Clim. Chang., 6 (2016), pp. 676–679
  39. SARB. (2020). Research themes and objectives: February 2020. South African Reserve.
  40. Singh, S., Goyal, M.K. (2023). Enhancing climate resilience in businesses: The role of artificial intelligence. Journal of Cleaner Production 418, 138228.
  41. Stern, N. (2007). The economics of climate change: The stern review. Cambridge University Press. Strat. Environ. 22 (2), 121–144. https://doi.org/10.1002/BSE.1744.
  42. Tingey-Holyoak. J., Cooper, B., Crase, L., Pisaniello, J. (2024). Business strategies to counter climate change risks to long lived production assets. Journal of Cleaner Production 459, 142553.
  43. Wang, Khurshid, A., Qayyum, S. et al. The role of green innovations, environmental policies and carbon taxes in achieving the sustainable development goals of carbon neutrality. Environ Sci Pollut Res 29, 8393–8407 (2022). https://doi.org/10.1007/s11356-021-16208-z
  44. Wang, L., Kutan, A.M. The impact of natural disasters on stock markets: Evidence from Japan and the US, Comp. Econ. Stud. 55 (4) (2013) 672–686.
  45. Weinhofer, G., Busch, T., 2013. Corporate strategies for managing climate risks. Bus.
  46. Worthington, A., Valadkhani, A. Catastrophic shocks and capital markets: A comparative analysis by disaster and sector, Global Econ. Rev. 34 (3) (2005) 331–344.
  47. Worthington, A., Valadkhani, A. Measuring the impact of natural disasters on capital markets: An empirical application using intervention analysis, Appl. Econ. 36 (19) (2004) 2177–2186.
  48. Zhao, X., Han, M., Ding, L. et al. Forecasting carbon dioxide emissions based on a hybrid of mixed data sampling regression model and back propagation neural network in the USA. Environ Sci Pollut Res 25, 2899–2910 (2018). https://doi.org/10.1007/s11356-017-0642-6
  49. Zhou, M., & Ma, Y. (2025). Climate risk and predictability of global stock market volatility. Journal of International Financial Markets Institutions and Money, 101, 102135–102135. https://doi.org/10.1016/j.intfin.2025.102135
Language: English
Page range: 2765 - 2776
Published on: Jul 24, 2025
Published by: Bucharest University of Economic Studies
In partnership with: Paradigm Publishing Services
Publication frequency: 1 issue per year

© 2025 Răzvan Topa, published by Bucharest University of Economic Studies
This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.