["International Journal of Finance &Economics, Volume 31, Issue 3, Page 3433-3464, July 2026. ", "\nABSTRACT\nThe rising frequency of abnormal climate events has left an undesirable burden on businesses, especially those that are exposed to climate change threats. This study delves into how corporate culture, which is the embedded beliefs and values that guide attitudes and behaviors of individuals in the organization, influences firms' climate change exposure (CCE). Using a fixed‐effect estimator with a U.S. firm‐level sample from 2004 to 2019, the empirical analyses reveal that strong corporate cultures alleviate firms' CCE, and three mechanisms are identified as transmission channels, namely climate change policy adoption, tightened board strictness and market attention. The results are robust to different model specifications and endogeneity diagnoses. Additional analyses show that the presence of chairwomen on the board dilutes the effect of corporate culture, and this effect is only evident in light‐emitting industries while turning insignificant among heavy‐emitting firms. The findings from this study offer several valuable implications for both businesses and policymakers to assist the collective efforts against climate change challenges.\n"]