Climate change has become a controversial topic in modern society. Many people believe that it has unwanted effects on business. Others think that climate change could create more business chances. From my personal stance, I suppose that it brings many downsides to the process of development of business due to the reduction in productivity and human resources.
On the one hand, climate change has undesirable influences on business. The first serious effect to be discussed is the reduction in productivity. Climate change causes natural disasters such as floods, droughts, and hurricanes. Therefore, the process of production is slowed down because businesses have to call off manufactures to avoid these disasters. Especially, the yields of farms may be affected and farmers have poor harvest. Moreover, the reduction in human resources can happen because of the negative effects of climate change. Natural disasters which result from this phenomena make the working environment dangerous for workers. Consequently, more and more employees do not want to work in this condition and they choose to quit the job. For example, human resources of a construction company named ABC have witnessed a remarkable decline from 5000 to 2000 workers when climate change occurs continuously. This situation has emphasized the negative effect of climate change on business.
On the other hand, climate change also brings opportunities for business. When this phenomena becomes more serious, environmentally friendly products are manufactured to protect consumer’s well-being. To illustrate, VinGroup has produced thousands of electronic taxis this year because of climate change. As a result, turnover of this incorporation in the first three months increases 21% to this before the production. This case has highlighted the business chance climate change brings.
In conclusion, I am convinced that climate change caused the reduction in productivity and human resources but it also helped businesses create more environmentally friendly productions. Government should introduce laws to protect the environment to limit the consequences of climate change.