SAINT PAUL UNIVERSITY DUMAGUETE

INCONVENIENT TRUTH: BUSINESS SUSTAINABILITY AND FINANCIAL

MANAGEMENT

REFLECTION PAPER

“Based on documentary film presented by US Vice President Al Gore”

Mesarie Q. Silva
Graduate School Student –MBA

To

Dr. Bancoro
Professor

November 18, 2023

 REFLECTION PAPER OF
INCONVENIENT TRUTH: BUSINESS SUSTAINABILITY AND FINANCIAL
MANAGEMENT

I believe that truth really hurts. Sometimes you may be disappointed about how really
things are but you have just to face reality itself. As I watched the full documentary film about
“Inconvenient Truth” somehow, I quite like the introduction for it gave me as a viewer a
glimpse about how our nature is supposed to be and should be. So as the documentary film
goes on, I saw the previous Vice President of the United States of America crack jokes while
introducing a slideshow about the unfriendly impacts of global warming on the world. As I
considered within, a question pops in my mind on how could he convince a generation of
people that have been presented to the great days of industrialization to go to strike for the
world and go under themselves in the way of life and the lifestyle. I believe that global
warming is a problem that has a very little chance of being resolved. This is because as a
realistic being, I am able to say with conviction that this is the inconvenient truth. As a human
technology gradually progresses, the environment continues to be degraded. The environment
suffers endlessly because our desire for comfort has no bounds. As I write these statements,
guilt rushes through my spine because I know that I have contributed to the current state of
mother earth. At this age, yet I have done so much to make this world suffer. This is
something that we as humans, should change. The speed of progress may appear to be
continuous to us in our lifetime, however, over the span of time, pondering over nature and
the conditions on all sides of it; this change is going on, rapidly. Also, consider the
relentlessly expanding population around the globe; I don’t think we can bear to lose any
more land because of the liquefying of the ice sheets in different places in the world,
specifically in Antarctica and Greenland. Al Gore also mentioned the factors (i.e., cigarettes
and tobacco) that are the concern on the issue and considered as some of the largest carbon
polluters and has the big impact on climate change. Gore’s main point remains clear that
whatever the eventual impacts, there is a need to act immediately to reduce greenhouse gas
emissions and so forth. This can be achieved with current technologies and in an affordable
way, he says, although he presents few specific examples in the film. He also details the
elements of the modern environmental movement traces the development of his interest and
involvement in climate change from his university days onwards. The film’s title also alludes
to the hesitancy of politicians and governments to address climate change because of the
tough and potentially unpopular actions that are required to tackle the issue, the financial cost
of changing to less environmentally damaging energy sources, and the need to alter our
lifestyles and means of production. Gore details some of the elaborate and underhanded
efforts by United States government officials to hide the truth about global warming from the
American people. On the other hand, this film is accessible and communicates the science of
global warming in a manner that is understandable even for those without a scientific
background. Gore explains the basics of how earth’s temperature are kept constant, but how
human interaction with the natural environment since the Industrial Revolution has caused
carbon dioxide (CO2) levels to rise and with it the planet’s average temperature. He also
illustrates how warmer temperatures cause the melting of glaciers, which in turn affect the salt
levels in the sea increase ocean temperatures, affect currents and strengthen storms. As I
continue watching the documentary film, realizations have dawned me on countless times and
I am ashamed to admit that I live my days knowing that this world is dying because I or we
are living.
In connection to business sustainability based from the documentary film, climate change
or the effect of global warming represents the grandest of challenges facing humanity. In the space
of two centuries of industrial development, human civilization has changed the chemistry of the
atmosphere and oceans, with devastating consequences. Business organizations are central to this
challenge, in that they support the production of escalating greenhouse gas emissions but also offer
innovative ways to decarbonize our economies. How businesses respond to climate change for
sustainability? Overall, businesses are focused on climate risk monitoring and reducing carbon
emissions in their operations as mentioned above. Business areas that have evolved the most in
response to climate risk considerations include investment plans, corporate strategy setting public
relations, and corporate social responsibility. Aside from that, all of us are liable to what happened
in the world. Therefore, we must cooperate and businesses as well in changing our main energy
sources to clean and renewable energy which is the best way to stop using fossil fuels. These
includes technologies like solar, wind, wave, tidal and geothermal power. Switch to sustainable
transport.
As I write this paper, I am once again filled with the desire to “make a difference” in this
world. I am troubles with thoughts running through my mind about what I can and should do and
how to start and apply the good practices to save the mother earth, well these are just thoughts. I
have yet to gather the faith and courage that former VP Al Gore had as he delivered his message
and convinced his audience, as he gave his insights and inspired his listeners, one of them me.
The impact in terms of financial stability, eventually as environmental issues will continue to
raise concerns. They will go on and on about infinite disastrous effects of global warming, but I
believed that if everyone will cooperate then we can save the earth. As we all know that climate
risks and response policies have important impacts on a country’s macroeconomic development
and financial stability. Climate change brings negative consequences for financial institutions and
financial markets. It leads to a decline in the rate of increment of financial assets and investment
returns which exacerbates financial market volatility. The level of systematic financial risk is
pushed up indirectly through the banking, securities, and insurance markets under the high
frequency of climate risks. Insurance companies are directly affected because they provide
insurance against the loss of physical assets and property. Climate change will affect economic
aggregate indicators, such as GDP and presents regional differences. Aside from that, the frequent
occurrence of climate extremes can reduce production efficiency, affect business profitability, and
increase the credit cost of firms. The result is an increase in loan defaults and a decrease in cash
flows. Simultaneously, asset devaluation is inevitable. Risk will also rise for the banking sector.
Moreover, due to the policy and legal changes, technological upgrading, and market developments
in response to the financial risks arising from climate change. This usually occurs in the process of
low-carbon transition. Rising energy and emissions costs can lead to cost shifting in the green
transition, resulting in higher total production costs. Companies with high energy consumption and
emissions may even face production restrictions, shutdowns, or even withdrawal. Policies to
address climate change can impact employment, inflation, and GDP at least in the short and
medium term. In other words, the emergence of climate extremes poses a serious threat to the
security of human life and social wealth. It is necessary to focus on the potential negative
externalities between climate change and financial institutions.
The film closes on an optimistic tone that suggest that there does not need to be a choice
between the economy and environment. Humanity has the technological and scientific knowledge
to address the problem, and what is needed is the determination and public will to change our life-
styles and consumption patterns. The closing credits are used to highlight small but effective
actions that viewers can take to make a difference and put the knowledge into action.
As a conclusion of this reflection paper, the consequences of all this will be devastating:
less potable water, more floods and drought even disappearing of continents because of global
warming. Each one of us is a cause of global warming as I mentioned this before, the solutions are
in our hand, but we must have the determination to make them happen. I agree with former VP Al
Gore that climate change is a moral issue. We must have persuasive call to action and encourages
ourselves to make changes in our personal lives to mitigate the effects on global warming. As Gore
suggests that the moral imperative derives from a duty we have to leave to future generations a
planet as habitable as the one we inherited from our ancestors. We must think what will happen in
50 to 70 years from now and how our grandchildren or great grandchildren will survive. Therefore,
will help each other to save the earth’s nature.
Thank you!