Business for Climate: A Qualitative Comparative Analysis of Policy Support from Transnational Companies

Abstract

AbstractTransnational companies (TNCs) are becoming increasingly influential in the global governance of climate change. Therefore, it is of paramount importance to understand the factors that explain why some TNCs broadly support policies to tackle climate change, while others oppose them. This study subjects previous findings from small-N case studies to a more systematic fuzzy set qualitative comparative analysis (fsQCA). It investigates previous findings that link exposure to fossil fuels to policy opposition, and transnational operations, exposure to consumers, certain factors in the institutional environment, and pressure from investors to policy support. The study concludes that findings from small-N case literature can explain the necessary conditions for climate policy support in a larger set of TNCs from a wider variety of sectors and geographies beyond GHG-intensive sectors, such as retail, technology, and telecommunication. It concludes by suggesting areas and cases for further research.