Journal Press India®

FOCUS: Journal of International Business
Vol 12 , Issue 2 , July - December 2025 | Pages: 53-68 | Research Paper

Corporate Climate Commitments and the Net Zero Transformation: Strategic Implications and Organizational Dynamics

Author Details ( * ) denotes Corresponding author

1. * K. S. Shibani Shankar Ray, Research Scholar, Department of Management Studies, GIET University, Gunupur, Orissa, India (k.sshibanishankarray@giet.edu)
2. Durga Madhab Mahapatra, Associate Professor, Department of Commerce, North Easter Hill University, Meghalaya, India (durgagreaternoida@gmail.com)
3. Soumendra Kumar Patra, Senior Assistant Professor, Department of Business Studies, Ravenshaw University, Cuttack, Orissa, India (soumendra.patra@gmail.com)

This paper explores the evolving landscape of corporate climate commitments with a focus on the Net Zero transition, as demonstrated through the strategic initiatives of General Motors and the investment philosophy of Generation Investment Management. Drawing on insights from both organizations, the paper examines how corporations are responding to the climate crisis by integrating sustainability into core business strategies. The paper highlights the complexity of Scope 1, 2, and 3 emissions, the systemic challenges of supply chain decarbonization, and the role of investors in shaping climate accountability. Through a theoretical lens, the paper synthesizes themes of strategic adaptation, stakeholder engagement, innovation-driven growth, and fiduciary duty. It further discusses the cultural and operational transformation required within legacy organizations to realize climate goals. This analysis underscores the need for a holistic, systems-level approach to sustainability, where ambition, agility, and collaborative governance drive meaningful change in pursuit of a 1.5°C-aligned future.

Keywords

Net Zero; Corporate climate commitments; Sustainability strategy; Generation investment management; Scope 1-2-3 emissions; ESG investing; Supply chain decarbonization; Fiduciary duty; Organizational transformation; Climate-led investing

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