Which term best describes impacts seen as less extreme but potential threats to long-term value?

The term "progressive impacts" is the most appropriate choice for describing impacts that are perceived as less extreme but still pose potential threats to long-term value. Progressive impacts refer to gradual changes that may not seem urgent or severe at first but can build over time, ultimately affecting the sustainability and financial health of a company or its stakeholders. These impacts can be related to environmental, social, or governance issues that develop slowly, such as gradual changes in regulatory requirements, shifts in consumer behavior, or slow onset environmental degradation. Recognizing these progressive impacts is crucial in sustainability accounting, as they can influence strategic decisions and risk assessments relevant to long-term value creation.

In contrast, acute impacts typically refer to immediate, severe effects that are urgent and require prompt attention. Direct impacts involve immediate and clear consequences of actions taken by a business on the environment or society. Short-term impacts focus on immediate effects rather than considering the longer-term trajectory of value. Thus, while the other terms describe different types of impacts, they do not capture the nuanced nature of gradual changes that could threaten long-term value as effectively as progressive impacts do.