This course examines sustainability issues faced by global corporations. Some of these issues reside "within" the organization itself, some are "external" but affect the operating environment and competitive landscape of the firm. All issues are related back to the "Shareholder Value" proposition of the firm that is central to both its Financial Position and its Social License to Operate in free market economies. The course examines issues related to climate change and the transition to a low-carbon economy, as well as other environmental and social topics and how these topics impact global leaders in the business world.
This is a sustainability course with a distinct "finance" lens, but it is not aimed specifically at students with mostly technical finance skills or highly technical finance career goals. There will be a bit of math, but not too much. In the end, it is about creating and protecting "value" in large firms while being conscious and responsive to the need to also create a positive "impact" on the world (or at least minimize any negative impact). A big emphasis is on uncompensated Economic Externalities and how markets and traditional capitalist incentive systems struggle to lead to allocative efficiency and social welfare in these circumstances. A background in sustainability is not required to succeed in this course, but an interest is helpful. The course is a mix of cases and lectures, including discussions and (potentially) guest speakers.