Relation to Other Stakeholders

instructions for the project as a whole

the last one you wrote is the first part of our project

the one I need is the second part (and the specific instructions is also here)

GLO 420 – BOS 1 – Spring, 2021
Prof. Cohen

TEAM PROJECT AND PRESENTATION ASSIGNMENT.

The main group or Team assignment for this class is preparation for and
participation in a simulation/discussion in which each team plays the role of a
stakeholder attempting to come up with a strategy to address one of the “Grand
Challenges” facing human society in the coming decades. This simulation/discussion
will take place during the last two weeks of class, on April 21, 26, and 28.

In this simulation, the class as a whole will be presented with a proposal to
address the Grand Challenge and each team will have to develop a response (and
negotiating position) to this proposal, from the perspective of the stakeholder the team
represents. This presentation, and a supporting 1500-word position paper, have to be
submitted by 11:59 pm EST on Friday, April 20, 2021. In order to prepare for this
simulation, each Team will submit two shorter papers – 1000 words each – in which the
Team outlines the position of the stakeholder in regard to the Grand Challenge (due
Friday, March 5), and its relationship to other key stakeholders (due Wednesday, March
31).

The Grand Challenge that will be the subject of this exercise is CLIMATE CHANGE.
The challenge of the assignment will be to see if the Teams can develop a consensus
position on a set of strategies that will reduce carbon emissions and limit the warming of
the Earth’s Climate by the year 2061.

The following 9 Stakeholders will be represented by the class Teams:

The global oil and natural gas industries.
Large institutional investors in the U.S.
The alternative Energy Industry.
Coalition of NGOs fighting climate change – We will call it the “Global Climate Alliance”
The global automobile industry.
The United States
China
The European Union
Intergovernmental Panel on Climate Change (IPCC)

This is clearly not an exhaustive list of potential participants but does represent a
number of the key stakeholders who would be involved in addressing climate change.
In addition, some categories may contain actors with different views or interests – it is
up to the Team that represents that stakeholder to identify/choose the positions it will
present. Ultimately, the challenge will be to see if you can identify key alliances and
trade-offs that could end up generating an agreement on fighting climate change.

The First Step:

The first step in this assignment is to allocate the Stakeholders. To make it easier, I’m
gong to do it myself. (I will entertain proposals to switch roles, but they have to come
from two teams.) So here they are:

Team 1 – The Global Climate Alliance.
Team 2 – Government of China
Team 3 – The Global Oil and Natural Gas Industry
Team 4 – The European Union
Team 5 – Large Institutional Investors in the U.S.
Team 6 – The global automobile industry
Team 7 – The Alternative Energy Industry
Team 8 – Government of the United States
Team 9 – Intergovernmental Panel on Climate Change

So, each Team needs to submit an analysis of your Stakeholder’s views and interests in
relationship to climate change – what challenges does it present to your stakeholders?
What opportunities might it present? Does the stakeholder already have a position on
how to address climate change?

This is due on Friday, March 5 at 11:59 pm EST (note change in due date), and should
be about 1000 words in length.

The Second Step:

Each Team will then submit an analysis of the other stakeholders in the simulation –
Which stakeholders are likely to be your allies in any negotiation? Which ones are likely
to be your opponents, and why?

This paper is due on Wednesday, March 31 at 11:59 pm EST, and should also be about
1000 words in length.

NOTE 1: In both cases, the Team Leader should upload the paper to the course
Canvas page.

NOTE 2: While these papers are short, they will require some research into your
stakeholder and the opportunities and threats it faces as the world attempts to try and
slow down global climate change.

GLO 420 – BOS 1 – Spring, 2021
Prof. Cohen

GUIDE TO RELATION TO OTHER STAKEHOLDERS ANALYSIS.

This is the second step of the Team Project and Presentation Assignment. Here,
each Team will submit a 1000-word paper in which they present an analysis of the other
stakeholder groups from the perspective of your group – which groups are potential
allies?/ which groups will oppose your positions? what is the best strategy to enable
your group to gain support for your positions? The paper is due on Monday, April 5
(notice the date change) at 11:59 pm EST, and should be uploaded by the Team Lead.

What issues or topics should you focus on in this paper?

– Restate your group/stakeholder’s priorities regarding climate change policy.

– Identify 2 other stakeholders that are likely to be your allies.

– Identify 2 other stakeholders that are likely to oppose your priorities.

– Present a strategy to gain the greatest possible support for your priorities – How would
you frame them? What compromises are you willing to make? How would you frame
the ideas of your opponents?

Your paper should include and be based upon some primary and secondary sources
about the stakeholder. This will be an additional step in building a bibliography for the
final position paper.

I am happy to discuss this assignment with each team individually.

TEAM5
GLO-420

Stakeholder Analysis
Dr. Edward S. Cohen

Stakeholder Group: Large Institutional Investors in the U.S.

Large institutional investors in the U.S. have a collection of professional traders who

focus on futures contracts trading on exchanges. Due to group sophistication compared to

average retail investors, there are less restrictive regulations. Stakeholders invest by spending

funds gained from product purchases and personal funds. Again, they invest cash on behalf of

other individuals. The group wishes to take private debt and project bonds as alternative

investments to meet its long-term and medium asset requirements. Through the company

investment, group members obtain maximum profit. The acquisition is possible due to optimized

trade operations, reduced intermediaries, and the absence of unnecessary formalities such as

verification, unproductive formalities, and agreements with brokers.

During the decision-making process, stakeholders seek private statistics through social

relationships. They apply information sharing effectiveness in the fund networks to learn about

data transmission effects on the stock market’s financial systemic and extreme risk. The fund

information network demonstrates small-world characteristics by reflecting rapid information

diffusion speed. Information-sharing behavior improves fund managers’ behavior consistency

that increases stock volatility through herd effects. Additionally, data sharing reduces systematic

financial risk by enhancing market pricing efficiency and information flow comprehensiveness.

Large Institutional Investors have an interest in data sharing to reduce systematic financial risk

by enhancing market pricing efficiency and information flow comprehensiveness. Today, the

group invites everyone to collaborate to make money and decent profits from services and

Edward Cohen
10000009895525
Can you provide some examples? This discussion is quite abstract…the analysis is good, but we need to know a bit about who is involved in the industry.

products’ sales by capitalizing even small funds. Finally, the group of stakeholders is interested

in climate change to make sure they maximize their wealth. According to Guyatt (2019),

negative climate changes have adverse effects on investors’ profits.

Climate Change Challenges to Stakeholders

According to Peker (2020), climate change poses significant challenges to organizations,

and they cannot ignore the risks. Climate change creates new business risks, whereby

stakeholders experience transition risk due to society’s climate change response. The responses

include changes in markets, regulation, and technologies that undermine products’ viability,

increase business cost, and affect asset values.

Additionally, the group members face direct costs due to changes in the climate

initializing from rising sea levels and extreme weather events. For instance, the members suffer

high losses for properties in coastal areas and exposure to drought spells. The greenhouse gas

emissions from human activities alter the world’s climate and affect a range of their natural and

human systems. Technological innovations associated with climate change, such as fuel cells and

electric-powered vehicles, threaten the business models that operate in traditional productions.

Climate change results in physical consequences such as sea levels, extreme weather, and a

threat to world food supplies that causes significant economic harm.

Moreover, regulations and policies implemented to fight climate change negatively affect

the company. For instance, since the public support for anti-climate change actions is increasing,

the idea of individuals punishing unresponsive organizations by boycotting has hurt stakeholders.

Additional carbon cost resulting from carbon emissions restrictions by federal legislation also

reduces the earnings. Climate change projections are too expensive for group members since

they require an understanding of climate system response, greenhouse gas emissions, human

activities, and atmospheric composition alterations. The time horizon uncertainty for climate risk

materialization becomes a significant challenge. Hence, the group endures the cost of managing

risks. The regulatory, technological, and physical climate risks affect institutional investors’

outcomes, such as shareholders, pension beneficiaries, and clients.

Climate Change Opportunities to Stakeholders

Moving to low carbon opportunities has resulted in low-carbon investment value and

enhanced stakeholder’s market. The low-carbon transition has created opportunities for

efficiency growth and innovation-investments in low-carbon ventures such as energy efficiency

and renewable help to carry out operational cost savings. Reducing reliance on fossil fuels

enhances supply chain resilience that unlocks market opportunities and fosters competitiveness.

According to Hoffman (2016), greener operations minimize capital costs. Green lending, where

proceeds applications have a tie to specific low-carbon projects, provides group members with

new opportunities to acquire cheaper finance. Again, the low-carbon evolution creates demand

for stakeholder’s sustainable services and goods. The majority of individuals compare the

seriousness of climate change to pandemics, whereby they want it highlighted in recovery

planning.

The group has capitalized on this attitude to increase market share and enhance brand

loyalty among concerned consumers. The push for healthier and cleaner energy motivates

workers, suppliers, and customers. By reducing emissions and those of the suppliers,

stakeholders save materials and energy costs, attract and retain talent, serve new customer needs,

and enhance reputation. The combination of environmental investment, structural reforms, and

climate change policies are significant to promote sustainable and inclusive growth. The three

Edward Cohen
10000009895525
Who are you talking about? How does this affect investors? Again, this is very general…

elements result in improved individuals’ skills, fostering employment access, and increasing

market competition. Warmer temperatures reduce the winter heating cost and result in healthier

outdoor lifestyles.

Stakeholder’s Position to Address Climate Change

Investors need to consider the climate change threat as a serious issue due to the mandate

of ensuring stable returns within long periods (Pearse, 2016). The group’s board of directors

helps capture climate opportunities by focusing on long-term value and reviewing corporate

strategy. Directors also attract talent and increase staff satisfaction to produce lower emissions

than competitors do. Here, stakeholders make emission reduction targets that do not exceed 1.5

C warming and ambitious plans to meet the target. As patriotic citizens, group members aim to

work with government leaders concerning climate action. They advocate that citizens vote in

leaders who view climate change as a serious issue. The leaders should set science-based targets

and implement clear plans to reduce harmful carbon emissions.

The group also enhances legal accountability by urging the government to follow its

commitments. Directors help to ensure that their tactics keep sight of the amount of money that

low-carbon opportunities hold. Again, stakeholders adjust to energy-efficient light tubers and

unplug electronics such as computers when not in use to save energy. As investors, stakeholders

focus on talking to individuals concerning climate changes using trusted people such as family

members, loved ones, and peers. Here, they encourage the public to make climate-friendly diets

by buying local and organic products. Individuals should focus on life’s humble pleasures by

being with loved ones and spending time in nature to make a difference. Stakeholders urge

individuals to reduce transportation emissions by advocating for bike lanes, flying less, car

Edward Cohen
10000009895525
OK…but this applies to everyone…what is specific to the investor community/industry?

sharing, and public transit. Additionally, they encourage communities to participate in the clean-

energy economy by searching for renewable energy projects with a return on investment.

Bibliography

Guyatt, D. (2019). Institutional Investors and the Behavioural Barriers to Taking Action on

Climate Change. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3598847

Hoffman, A. (2016). Communicating About Climate Change with Corporate Leaders and

Stakeholders. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.2767545

Pearse, R. (2016). Gender and climate change. Wiley Interdisciplinary Reviews: Climate Change,

8(2), e451. https://doi.org/10.1002/wcc.451

Peker, E. (2020). Urban water management in Istanbul: exploring the challenges in the face of

climate change. Heritage Turkey, 10, 29-29. https://doi.org/10.18866/biaa2020.14

https://doi.org/10.2139/ssrn.2767545

https://doi.org/10.1002/wcc.451

https://doi.org/10.18866/biaa2020.14