Mainstreaming Climate Risk: How Tools, Complexity, and Salience Shape Business‑as‑Usual and Transformational Strategic Responses

Read full text
Authors: Elisabeth Krull, Yiwen Sun, Mercedes Bleda, Jonatan Pinkse
Cited by: 1
References: 85

Abstract

Growing concern about climate risk has intensified calls for sustainability mainstreaming. Yet firms often embed climate risk in ways that reinforce business‑as‑usual priorities rather than prompting strategic transformation. This study explains why this occurs by integrating behavioural and practice perspectives on strategy. We examine how climate‑risk management tools shape the framing of climate‑related complexity, highlight certain aspects as salient, and direct managerial attention towards pursuing business‑as‑usual rather than transformative approaches. Empirically, we analyse global food and drink firms’ open‑text CDP disclosures from 2018 to 2022. Our findings show how an overreliance on familiar, routinised tools can bias firms’ decision‑making. This bias leads many firms to incorporate climate risks into their existing strategy rather than changing it; however, in some cases, particular configurations of perceived complexity and salience enable more transformational approaches. The study advances our understanding of the process of sustainability mainstreaming and its limits in enabling strategic transformation.

Fields of Study & Subjects

Corporate Social Responsibility Reporting Environmental Sustainability in Business Supply Chain Resilience and Risk Management

Publication details

Journal / source
Organization & Environment
Publisher
SAGE Publications
Volume
39
Issue
3
Pages
368–394
Publication date
29 June 2026
Language
EN