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The present research study aims to explore the impact of the most recent Israeli–Palestinian conflict, which unfolded in October 2023, on global equity markets, including a wide range of both emerging and developed markets (as per the Morgan Stanley Capital Investment country classification).

The market model of event study methodology, with an estimation window of 200 days and 28-day event window (including event day, i.e. October 7, 2023), has been employed to investigate the event’s impact on the stock markets of different countries, with 24 emerging countries and 23 developed countries. The daily closing prices of the prominent indices of all 47 countries have been analyzed to examine the impact of the conflict on emerging markets, developed markets and overall global equity markets. Additionally, cross-sectional regression analysis has been performed to investigate the possible explanations for abnormal returns.

The findings of the study suggest the heterogeneous impact of the selected event on different markets. Notably, emerging markets and the overall global equity landscape exhibited substantial negative responses on the event day, as reflected in average abnormal returns of −0.47% and −0.397%, respectively. In contrast, developed markets displayed resilience, with no significant negative impact observed on the day of the event. A closer examination of individual countries revealed diverse reactions, with Poland, Egypt, Greece, Denmark and Portugal standing out for their positive or resilient market responses. Poland, in particular, demonstrated significantly positive cumulative abnormal returns (CARs) of 7.16% in the short-term and 8.59% in the long-term event windows (−7, +7 and −7, +20, respectively), emphasizing its robust performance amid the geopolitical turmoil. The study also found that, during various event windows, specific variables had a significant impact on the CARs.

The study suggests diversification and monitoring of geopolitical risks are key strategies for investors to enhance portfolio resilience during the Israeli–Palestinian conflict. This study identifies countries such as Poland, Egypt, Greece, Denmark and Portugal with positive or resilient market reactions, providing practical insights for strategic investment decisions. Key takeaways include identifying resilient markets, leveraging opportunistic strategies and navigating market dynamics during geopolitical uncertainties.

As per the authors’ thorough investigation and review of the literature, the present study is the earliest attempt to explore the short-term and long-term impact of the 2023 Israeli–Palestinian conflict on equity markets worldwide using the event study approach and cross-sectional regression analysis.

This paper aims to critique the rationalist theoretical framework of international mediation, which ignores emotions in analyzing the decision by conflict parties to pursue a negotiated settlement or continue fighting, and to present an alternative framework that integrates emotions.

The paper draws on psychology research on emotions and conflict to develop an emotionally informed framework for analyzing conflict parties’ decision-making regarding a settlement. It demonstrates the framework’s validity and value through a case study of the 2000 Camp David mediation to resolve the Israeli–Palestinian conflict.

A rationalist approach to mediation does not have adequate explanatory and predictive power theoretically. In practice, it can reduce the prospect of success.

The paper highlights the necessity for mediation researchers to study the effects of emotion, draw on psychology studies on conflict and explore the emotional implications of different mediation strategies and tactics.

The framework highlights the challenge of designing and conducting mediation in a way that cultivates emotions favorable to a settlement and lessens emotions unfavorable to a settlement.

This is the first study, to the best of the authors’ knowledge, to critique the rationalist framework of international mediation studies and develop an alternative framework that integrates emotions.

The geopolitical significance of the Mediterranean Sea transcends regional security and energy supply, profoundly impacting global security dynamics. Daily headlines underscore the plight of migrants from the Middle East and North Africa crossing the Mediterranean, exacerbating humanitarian crises and European identity challenges. Environmental concerns are further heightened by the abundance of global ports facilitating oil and goods transportation, alongside the staggering number of tourists flocking to the Mediterranean coast annually. This chapter serves as a gateway to the book, exploring the concept of “geopolitics” and delineating its characteristics. It specifically delves into the political economy of the Eastern Mediterranean and the geopolitical obstacles to energy security in the region. The chapter strategically selects four primary issues to dissect the region’s conflict complexity: the Syrian crisis, the Israeli–Palestinian conflict, the unresolved Cyprus dispute, and the Lebanon–Israel conflict over water border demarcation.

This study delves into the transformation of UAE-Israel relations, which transitioned from a long-term rivalry to a formal peace agreement in 2020. It aims to uncover the multifaceted elements that influenced both nations’ pursuit of bilateral negotiations, with a special emphasis on the role of unofficial collaboration.

Employing a case study approach, the research traces the evolution of the UAE-Israel ties, mapping their progression from covert collaborations to public accords. This exploration is set against a backdrop of political, economic, and societal factors that have historically characterized the broader Israel-Arab conflict. Real-world dynamics and theoretical constructs are analyzed in tandem to derive comprehensive insights.

Key drivers for the transformation of UAE-Israel relations included the threat from Iran, internal disturbances, economic stresses, and the strategic advantages of discreet diplomacy. Exogenous catalysts like the Covid-19 pandemic and Israel's annexation plans in 2019-2020 played pivotal roles, capitalizing on pre-existing covert collaborations and shared regional interests. Constructive strategies, notably inducements, effectively reshaped their adversarial relationship. The resultant U.S.-mediated agreement conferred strategic, security, economic, and diplomatic benefits to both parties. Importantly, the potency of conengagement conflict management strategy, especially when bolstered by exogenous factors and growing mutual interest, emerged as a game-changer in terminating longstanding rivalries.

This study offers a unique perspective on Israel-UAE relations, emphasizing the significance of covert engagements, inducements, and the innovative conengagement strategy in conflict resolution. By examining a relationship devoid of direct armed conflict, the research underscores the interplay of economic, political, and societal factors in reshaping rivalries. This case study serves as a testament to the potential for transformative change in enduring disputes when the right conditions and strategies align, supplementing conventional perspectives and offering valuable implications for policy and mediation initiatives in the Middle East.

The purpose of this paper is to propose a model of relationships for conflict-ridden destinations that include variables concerning the dispute and their effect on key constructs that shape visitation decisions.

The theoretical model is examined for two conflict-ridden Eastern Mediterranean destinations, Israel and Turkey, which suffer from ongoing armed conflicts, using two samples of potential tourists residing in the USA (n = 1,581) and India (n = 1,383).

The relationships are stable for both destinations and cultural contexts. Animosity is a strong factor in tourists’ decisions, whereas perceived risk has a relatively insignificant impact. Knowledge of the conflict is also found to influence decisions about visiting conflict-ridden destinations.

The study investigates the role of variables related to the conflict as antecedents of animosity and perceived risk, thus contributing to the understanding concerning decisions to visit conflict-ridden destinations. The model is generalized for varied destinations and cultures.

该研究提出了一个针对有冲突目的地的关系模型, 其中包括与冲突有关的因素以及对旅游访问决策的关键概念的影响。

使用基于美国（n = 1,581 ）和印度（n = 1,383）的潜在游客样本, 本文的理论模型检验了两个东地中海目的地, 以色列和土耳其, 该目的地遭受了持续的武装冲突。

获得的关系在两个目的地和文化背景下都是稳定的。敌意是影响游客决策的重要因素, 然而风险感知的影响相对较小。研究还发现了对冲突的认知会影响有关访问目的地的决定。

该研究调查了与冲突相关的因素作为敌意和感知风险的前因变量, 从而有助于我们理解关于访问有冲突的目的地的决策, 该模型适用于不同的目的地和文化。

La investigación propone un modelo de relaciones para destinos en conflicto que incluye variables relacionadas con el conflicto y su efecto en conceptos clave para las decisiones de visita del turista.

Se examina el modelo teórico para dos destinos del Mediterráneo oriental, que sufren conflictos armados en curso, Israel y Turquía, utilizando dos muestras de turistas potenciales que residen en los Estados Unidos (n = 1.581) y la India (n = 1.383).

Las relaciones obtenidas son estables tanto para los destinos como para los distintos contextos culturales. La animosidad es un factor importante en las decisiones de los turistas, mientras que el riesgo percibido tiene un impacto relativamente insignificante. También se ha encontrado que el conocimiento del conflicto influye en las decisiones de visita al destino en conflicto.

El estudio investiga el papel de las variables relacionadas con el conflicto como antecedentes de la animosidad y el riesgo percibido, contribuyendo así a nuestra comprensión sobre las decisiones de visitar destinos en conflicto. El modelo es generalizable a distintos destinos y culturas.