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1 INTRODUCTION Business organizations hold several threads of the global fabric of ecological and social challenges, including climate change, biodiversity loss, and resource scarcity, which are linked to human well-being and prosperity (Folke et al., 2019). Companies notoriously exercise important impacts on the environment and ecological systems.
1. Introduction Developing a better understanding of nature-related financial risks has become a focal point for policymakers, the financial community and regulators. This is because economic activities are intrinsically linked to the health of natural ecosystems, which provide, for instance, material and regulating services such as direct physical inputs (e.g., water) for production or protection from natural hazards (e.g., floods).
The consumption of materials and products is one of the drivers of biodiversity loss, which in turn affects ecosystem functioning and has socio-economic consequences worldwide. Life cycle assessment (LCA) is a reference methodology for appraising the environmental impacts of products along their value chains. Currently, a generally accepted life cycle impact assessment (LCIA) framework for assessing biodiversity impacts is lacking.
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