Terrorism, competitiveness, and international marketing: an empirical investigation

Valbona Zeneli (College of International Security Studies, George C. Marshall European Center for Security Studies, Gernackerstrasse, Garmisch, Germany)
Michael R. Czinkota (Georgetown University, McDonough School of Business, Washington, District of Columbia, USA)
Gary Knight (College of Business, Florida State University, Tallahassee, Florida, USA)

International Journal of Emerging Markets

ISSN: 1746-8809

Publication date: 16 April 2018

Abstract

Purpose

The purpose of this paper is to research the relationship between terrorism and multinational enterprises (MNEs), focusing on operational costs, marketing planning, supply chain management, and distribution activities. Terrorism is a growing threat to internationally active firms, but there has been no empirical research to address the distinctive challenges that terrorism poses for the international marketing activities of firms.

Design/methodology/approach

The paper opted for an exploratory investigation, following a two-phase research design. In the first phase it was based on qualitative interviews with internationally active firms. In the second phase, an online survey of a large sample of international firms based in the USA was performed. All measures were developed specifically for the study.

Findings

The paper provides empirical insights about how terrorism affects MNEs, especially those operating in emerging markets. It suggests that terrorism accounts for significant costs in the international marketing budget of MNEs, as well as in planning, and the design of supply chains and distribution channels. Findings also reveal that firms with significant resources and international experience appear to cope better with terrorism’s effects.

Research limitations/implications

Given the early stage of empirical research on terrorism and international marketing, this study was necessarily exploratory.

Practical implications

The paper includes implications and suggestions for multinational companies to increase the security of their businesses through the development of corporate preparedness.

Social implications

Terrorism represents not only an organizational crisis at the level of a firm, but it affects the whole society.

Originality/value

This paper fulfills an identified need to study the relationship between the growing threat of terrorism and international business.

Keywords

Citation

Valbona Zeneli, Michael R. Czinkota and Gary Knight (2018) "Terrorism, competitiveness, and international marketing: an empirical investigation", International Journal of Emerging Markets, Vol. 13 No. 2, pp. 310-329

Download as .RIS

DOI

: https://doi.org/10.1108/IJoEM-03-2016-0065

Publisher

:

Emerald Publishing Limited

Copyright © 2018, Emerald Publishing Limited

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