* Update intro-emissions_profile.Rmd (#693)

---------

Co-authored-by: Mauro Lepore <maurolepore@gmail.com>

Author: Tilmon

inst/extdata/child/intro-emissions_profile.Rmd

@@ -1,35 +1,43 @@
-The "emissions profile" measures the transition risk on the product-level of a
-company. The indicator is expressed in the percentage of all products that are
-at high risk, medium risk or low risk due to the products' relative greenhouse
-gas (GHG) emissions. The assessment is first performed on a product-level and
-can then be aggregated to the company-level.
+The "emissions profile" measures the absolute GHG emissions of a product in
+comparison to a chosen benchmark of products. The assessment is first performed
+on a product-level and can then be aggregated to the company-level. The profile
+is expressed as the share of a company's products that are in a "high",
+"medium", or "low" emission profile category, based on the comparison to the
+benchmark. A higher emission profile indicates a larger impact on climate change
+compared to the benchmark and can therefore also be interpreted as one climate
+risk component to assess products, companies, or loan portfolios.
 
-The "emissions profile" measures the relative GHG emissions per product. As a
-default option, each product is compared to the GHG emissions of every other
-product. Products with higher GHG emissions are considered to have a higher
-emission profile and hence also face a higher climate risk.
+```{r include=FALSE}
+bm <- tiltIndicator:::flat_benchmarks(tiltIndicator:::example_products())
+bm <- paste0("`", bm, "`")
+```
 
-After identifying the GHG emissions for each product, the products are ranked
-according to their carbon footprint. The ranking method is explained in more
-detail in the
-[Thresholds](https://2degreesinvesting.github.io/tiltIndicator/articles/tiltIndicator.html#thresholds)
-section. In short, products with relatively low GHG emissions are assigned to
-the category "low", products with relatively high GHG emissions to the category
-"high" and the products in between to the category "medium".
+The "emission profile" is calculated in these steps: 
 
-Note that for the ranking and categorization, we apply different benchmarks.
-Products are compared to (i) all other products, to (ii) products within the
-same tilt sector, to (iii) products within the same ISIC 4 digit sector, to (iv)
-products measured in the same unit, and a combination of (iv) with either (i),
-(ii) or (iii).
+* The relative GHG emissions per product are collected from a
+Life-Cycle-Analysis (LCA) database by matching the products from our company
+dataset to the products from the LCA dataset.
+* All products are ranked according to their GHG emissions. 
+* The products are grouped by the following benchmarks:
+  1. `r bm[[1]]`: All products.
+  1. `r bm[[2]]`: All products within the same ISIC 4 digit code (example: 0112 Growing of rice).
+  1. `r bm[[3]]`: All products within the same tilt sector (example: agriculture).
+  1. `r bm[[4]]`: All products with the same unit (example: kg).
+  1. `r bm[[5]]`: All products with the same unit within the same ISIC 4 digit section (example: kg + 0112 Growing of rice).
+  1. `r bm[[6]]`: All products with the same unit within the same tilt sector (example: kg + agriculture).
+* For each benchmark, products are assigned to the emission profile category
+"low", "medium" or "high", depending on the GHG emissions arising from their
+production process in comparison to all other products within the same
+benchmark. For the assignment of the three categories, thresholds are used.
+Please find more information about the thresholds in the
+[Thresholds](https://2degreesinvesting.github.io/tiltIndicator/articles/tiltIndicator.html#thresholds)
+section.
 
 For the company-level results, we aggregate all products from the same category
-and set them in relation to all products that the company produces. We derive
-the "emissions profile", which is expressed as the share of products per
-category for each company.
-
-Finally, the indicator provides the share of products with "low", "medium", or
-"high" relative GHG emissions per company.
+and benchmark and set them in relation to all products that the company
+produces. The company-level results are expressed as the company's share of
+products per category "low", "medium", and "high" in comparison to each
+benchmark.
 
 The output of this indicator contains the following: