Earlier this year California-based utility Pacific Gas and Electric (PG&E) became one of the clearest cases of how climate change can wipe out a company that has not done enough to prepare for a warming planet.

After costs related to wildfires ballooned, PG&E filed for bankruptcy protection. The company faced approximately $30bn in liabilities as a result of its role in the 2017 and 2018 fires.

State investigators linked 100 deaths to the fires. Federal judge William Alsup blamed the cause of some of the fires on the utility's negligence and said the utility had paid $4.5bn to shareholders in dividends over the past five years while failing to take adequate safety precautions. 

And now Germany's car industry is facing the threat of losing its position as a leading centre for production. A series of missteps - from diesel-cheating scandals to a lack of preparedness for the end of the combustion engine - has left the road open to Uber, Tesla and Chinese electric brands. An industry that employs more than 800,000 people is facing a make-or-break moment.

So, are businesses doing enough to prepare for climate change or do executives have their heads in the sand?

According to a Global Commission on Adaptation report, businesses need to plan more for a warming planet. Companies that do not adapt may not survive.

The report claims investing $1.8 trillion to climate-proof business and the broader economy by 2030 could generate up to $7.1 trillion in net benefits. Half of the world's biggest companies believe climate adaptation could result in $236bn in increased revenue.

One of the authors of the report is Feike Sijbesma, chief executive of Dutch life sciences company Royal DSM. Economics editor Abid Ali talks to him about climate change adaptation and why it is important for businesses around the world.

Sijbesma points out that no country in the world can escape from climate change.

"Addressing climate change mitigation and addressing climate change adaptation is in the interest of all countries and in the interest of all companies," Sijbesma says.

"Of course, as companies we are not philanthropic organisations, we need to make money, but there are more interests than only making money and there are more interests than only the short term."

Source: Al Jazeera News