What are the implications for you? Well, here are a few that the authors suggest:

• Investors already are discounting share prices of companies poorly positioned to compete in a warming world.
  
• Many businesses face higher raw material and energy costs as governments around the globe increasingly enact policies placing a cost on emissions.
  
• Consumers are taking into account a company's environmental record when making purchasing decisions.
  

The authors go on to state that, “Companies that manage and mitigate their exposure to climate-change risks while seeking new opportunities for profit will generate a competitive advantage over rivals in a carbon-constrained future.”

How do you as Alaskan entrepreneurs and business managers plan to run your business in a time- and carbon-constrained world, and, at the same time, investigate ways for your companies and for your shareholder investors to seek competitive advantage?

Consider investing in your most valuable renewable resource, your human resources — this includes yourself and your employees. No matter what the age, consider sending yourself and your employees back to school to finish a bachelor's or master's degree in business administration. In addition to on-campus programs in Anchorage and in Fairbanks, there are excellent part-time programs available online to students across Alaska via the University of Alaska Southeast online distance education program.

Consider having your company pay the tuition costs. Tuition reimbursement programs can improve productivity and contribute to continued success of your business. Talk with your tax advisor about IRS rules that might influence how to structure your program.

Now is a great time to have an education strategy discussion with your management team in advance of university application deadlines for those who can start class in fall 2007.

According to the Financial Times, the average increase in salaries from when someone started their MBA at a top program to three years after graduation is 127 percent. Some of this increase is related to the increased value and wealth that these graduates bring to the companies that hire them and to the companies that graduates themselves help to start.

It is not only the degree itself that is important, but the management training, network of contacts and networking skills that bring value to the student, to the employee and to the firm.

Students are also introduced to new trends in business and how to exploit them.

There is new and emerging knowledge out there in both technological areas and in the markets themselves.

First, let's use “cleantech” as an example. According to CleanTech Venture Network, “the concept of clean technologies embraces a diverse range of products, services and processes that are inherently designed to provide superior performance at lower costs, greatly reduce or eliminate environmental impacts and, in doing so, improve the quality of life.”

The Clean Tech Venture Network claims to have tracked more than $10.6 billion invested in cleantech ventures in North America since 1999 and another $2.6 billion invested in Europe since 2003.

Second, there is market knowledge for you to continuously monitor and have your company digest. The Carbon Disclosure Project is a coalition of institutional investors with more than $41 trillion under management. CDP tracks large companies' positioning with regard to climate risk. This market information is critical to you now if the exit strategy for your company is to sell to one of these large companies. It is also critical to your company if you are planning to continue to supply one of these large companies.

Finally, this market information is critical if you are looking for a competitive advantage to differentiate your company so you can successfully supply one of these large companies as part of that business plan you are writing for your start-up.

As an entrepreneur, the technology you use and the knowledge and experience of your firm are all critical elements as you innovate for profit and wealth creation.

By investing in your own education and in the education of your Alaskan employees, you maximize your chances of being a real builder of renewable wealth in Alaska.

Rick Wolk is an entrepreneur and assistant professor of marketing and entrepreneurship at the University of Alaska Southeast. Wolk is also one of the organizers for the 2007 UAS Alaska Business Plan Competition and a member of the advisory board of Alaska InvestNet. He can be reached at (907) 796-6133 or at rick.wolk@uas.alaska.edu.