Document Type

Peer-Reviewed Article

Publication Date

Spring 2009

Abstract

Terrorism has in one form or another been a part of society throughout history. Since the September 11, 2001 attacks in New York, the world community has been more focused on terrorism than ever before in most recent modern history. Terrorism has impacted multiple levels of society across the world community. One of those levels is the business environment. A specific aim of terrorism is to disrupt and destroy ongoing businesses. Therefore, the ability of governments to disrupt and destroy terrorism is essential to the continued growth and expansion of the world economy. Terrorism will directly impact a country's ability to attract and maintain business development and investment. This paper examines the impact of terrorism on five business sectors: the equities market, aviation, tourism, insurance and corporate security. An examination of the available literature and data concludes there is an initial detrimental impact on all these business sectors. However, available data trends in the direction of no long-term disruption. The economic costs, however, are present and most business sectors endure additional economic costs as a result of terrorism.

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