Redefining the Transition Economy The term ‘transition economy’ comes That is especially with a lot of historical baggage. Traditionally, the phrase refers to true for the moving from a centrally planned systems related economy (where resources are controlled centrally) to an open to the way we market economy (where price is influenced by supply and demand). produce and Today, ‘transition economy’ means consume food, more than that. We should think of energy, transport, it as an economy where businesses and industries that rely heavily on and construction.’ fossil fuels and older technologies are transitioning towards new In this paradigm, a transition means of production, consumption, economy is one in which and distribution. Adapting their governments, industries and operations, products and services, corporations pursue sustainable value chains, and business models development at scale through to support a new, more sustainable green technology and other means. economic vision. This involves Demand for lower carbon emissions incorporating new technologies and and environmentally friendly new ideas about innovation. solutions creates massive structural transformations and impacts private The systemic and public institutions. global Below, we lay out how environmental groundbreaking companies such as Caterpillar, Orsted, Schneider challenges ahead Electric, and others address their transition and its underlying emerging of us require our risks. These should bring some societies to change great insights into identifying ‘quick win’ strategies that the market - dramatically. consumers and corporations - will embrace. 7