4. Preventive Closures to Mitigate Hurricane Impacts

This chapter investigates the impact of preventive closures, implemented by governments or companies in anticipation of hurricanes, on stock prices. By analysing historical data and reporting behaviours, the study reveals that proactive supply chain risk management, including preventive closures, often stabilises stock prices in the face of hurricane threats. These closures, whether government-mandated or voluntary, are viewed favourably by shareholders, who recognise their role in minimising long-term damage and preserving business continuity. The findings highlight the importance of transparency and proactive measures in building investor confidence and ensuring operational resilience in hurricane-prone regions.