Terrorism and International Business

p Running Head : Terrorism and International Business

How Terrorism has Effected International

Business in the Post 9 /11 World

Introduction

The events of September 11 , 2001 affected the business community in a wide variety of ways . One of the main ways in which the business community was affected was in how international business conducted their affairs . Terrorism has not only effected international business on the financial level but also in the legal and security aspects of running a business . Many international businesses found themselves floundering financially in the days , weeks

, and months after 9 /11 when that international business located in the World Trade Centers in New York City lost both personnel and their main business locations

Since the terrorist attacks of 9 /11 many international business have also been affected legally as they struggle to keep up with new laws and treaties set up by the international community in an effort to prevent further terrorist acts on the same level as those did that occurred in 2001 . These new international laws have included restrictions for shipping of merchandise across international bs as well as new laws that require companies to keep increasingly careful track of their cash flow . These new anti-terrorist laws have made it increasingly complicated to conduct business across international bs and as a result many companies such as , Philip Morris Inc have re-structured their companies to allow them to meet the demands of new international laws and treaties

The final major issue that greatly effect how international corporations go about their business is that of security . Many international corporations have had to invest a great deal of money in improving both internal and external company security . There are several reasons for this . First , international businesses have had to improve external security because of the threats of terrorist attacks against several international businesses that are operated out of Western countries such as the United States and Great Britain . Second , internal security has been improved out of a need to ensure the security of corporate information such as tax records , information on employee identities , and financial records . Finally , both internal and external security have been improved by international business in to ensure that the employees that work for these companies do not have histories of terrorist activity , or other criminal backgrounds that could be associated with terrorism

It is vital that international businesses focus on protecting not only the company itself but also its employees , and customers from terrorist attacks . The impact of terrorism on the ability of international corporations to do business should not be underestimated . International businesses employ millions of people , and make several billion dollars each year . It would be highly detrimental to the world economy were terrorists to successfully attack international businesses in such a way that would block them from operating in an effective manner

How Does Terrorism Effect International Business

There have been many different explanations as to why terrorism has become such a problem at the international level . Lim (2002 ) points...