The Security–Business Nexus
Edited by Gabriele G.S. Suder
Chapter 4: Terrorism and International Business: Conceptual Foundations
Michael R. Czinkota, Gary A. Knight and Peter W. Liesch INTRODUCTION Terrorism has emerged as an important threat to the international ﬁrm. It reﬂects the risk of violent acts to attain political goals via fear, coercion or intimidation. Key concepts on terrorism are reviewed and then linked to the international activities of the ﬁrm. Key units of analysis, actors and facilitating factors are highlighted in the relationship between terrorism and international business. A model that ties these elements together and conclusions are oﬀered with suggestions for future research. 4.1 CONCEPTUAL FOUNDATIONS While terrorism has existed throughout history, its global impact has increased markedly in recent years. For example, the September 11, 2001 attacks in the United States killed citizens from a total of 78 countries (US Department of State, 2002, p. v). Terrorism has contributed to a decline in the global economy (for example, European Commission, 2001), and has aﬀected entire industries such as tourism, aviation and retailing on a global level. New government policies in many nations have altered the global environment of business. Scholars have written on terrorism in many domains that include anthropology, criminology, economics, history and international relations. Nevertheless, in the domain of international business, there does not yet exist a systematic theory on terrorism. Yet, terrorists attack international businesses far more than any other target. For example, since 1996, well over 300 attacks have been conducted against businesses each year (US Department of State, 2002). In 2001, international terrorists targeted a total...
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