Chapter 7: Discussion and Conclusion

Studies over a period of time have highlighted significance of impacts of terrorism on international business, and in few cases, how they influence the multinational enterprises (MNEs) in emerging markets (EMs). Discussion on the ways to handle impacts of terrorism, highlighting the research so far carried out and how this study would contribute, is carried out in the following manner.

Terrorism in EMs and institutional factors:

The agreement of all eight MNEs on the point that post-9/11 terrorism was the top or grave risk for MNEs in their respective host countries, which happened to be EMs afflicted with terrorism, set the tone to realize the gravity of the situation and take adequate measures to handle the impacts. Even two decades earlier, terrorism was considered a grave threat to businesses as in 1980, a survey of 82 high-level international executives ranked terrorism second only to then double-digit inflation as “a barrier” to their international businesses. None of the eight MNEs erred in realizing that the threat had become widespread across the globe and much more palpable; therefore, it was high time to react accordingly.