Corporate Strategies Under International Terrorism And Adversity

238 Pages·2006·0.57 MB·English

by  Gabriele G. S. Suder

Corporate Strategies Under International
Terrorism and Adversity
To David, Chantal and Caroline
Corporate Strategies
Under International
Terrorism and
Adversity
Edited by
Gabriele G.S. Suder
Professor in International Business, CERAM Sophia Antipolis
European School of Business, France
Edward Elgar
Cheltenham, UK • Northampton, MA, USA
©Gabriele G.S. Suder 2006
All rights reserved. No part of this publication may be reproduced, stored in a
retrieval system or transmitted in any form or by any means, electronic,
mechanical or photocopying, recording, or otherwise without the prior permission
of the publisher.
Published by
Edward Elgar Publishing Limited
Glensanda House
Montpellier Parade
Cheltenham
Glos GL50 1UA
UK
Edward Elgar Publishing, Inc.
136 West Street
Suite 202
Northampton
Massachusetts 01060
USA
Acatalogue record for this book
is available from the British Library
Library of Congress Cataloging in Publication Data
Corporate strategies under international terrorism and adversity/edited by Gabriele
G.S. Suder.
p. cm.
1. International business enterprises—Security measures. 2. Terrorism—
Economic aspects. 3. Risk management. 4. Emergency management. I. Suder,
Gabriele G.S.
HD61.5.C67 2006
658.4′77—dc22 2005052764
ISBN-13: 978 1 84542 241 7
ISBN-10: 1 84542 241 4
Typeset by Cambrian Typesetters, Camberley, Surrey
Printed and bound in Great Britain by MPG Books Ltd, Bodmin, Cornwall
Contents
List of figures vii
List of tables viii
List of contributors ix
Preface xi
Acknowledgements xii
1 Introduction 1
Gabriele G.S. Suder
PARTI THE INTERNATIONALENVIRONMENTAND ITS
NETWORKS
2 Social network theory and methods as tools for helping business
confront global terrorism: capturing the case and contingencies
presented by dark social networks 7
Mason A. Carpenter and Alexander D. Stajkovic
3 Speeding up strategic foresight in a dangerous and complex world:
a complexity approach 20
Max Boisot and Bill McKelvey
4 National security as a socio/computational process 38
Max Boisot and Bill McKelvey
PARTII STRATEGIC BEHAVIOR
5 Terror incognito: international business in an era of heightened
geopolitical risk 59
David A. Wernick
6 Country risk spillovers in the Middle East: a prelude to the road
map for peace and the war on terror 83
Ilan Alon and David L. McKee
7 Terrorism and financial management 95
Raj Aggarwal
v
vi Contents
PARTIII CORPORATE MANAGEMENTAND PERFORMANCE
8 Location decisions, or: modelling operational risk management
under international terrorism 111
Gabriele G.S. Suder
9 Global supply chain under conditions of uncertainty: economic
impacts, corporate responses, strategic lessons 128
John R. McIntyre and Eric Ford Travis
10 Brand portfolio: a new marketing competency for diminishing
strategic risks 161
Claude Chailan and Luis Felipe Calderon-Moncloa
PARTIV CHALLENGES FOR THE FUTURE
11 Corporate global citizenship: successfully partnering with the
world 177
Nancy J. Adler
12 Managing in an era of terrorism 196
David Gillingham
13 Always consider problems as opportunities 204
David A.C. Suder
14 Concluding remarks 210
Gabriele G.S. Suder
Index 217
Figures
2.1 DDD tactical simulation 9
2.2 Articles with network keyword 16
3.1 Pattern proliferation above; Fordism below the Ashby Line 26
3.2 Pattern processing 32
4.1 Pattern filtering via serial computing 47
4.2 Parallel computing 48
4.3 Serial and parallel processing combined 49
6.1 Country risk: Egypt, Israel and Jordan (years 1980–96) 89
6.2 Country risk (years 1980–96) 90
8.1 Location modes by level of investment 119
8.2 Determinants of location strategy 121
8.3 Model of location strategy by return on investment 122
9.1 Current supply chain metrics versus possible security measures 137
10.1 Monobrand and multibrand strategies 168
10.2 Cosmetic companies’brand portfolios 169
10.3 Building brand portfolios 171
vii
Tables
2.1 Network constructs in bright versus dark network contexts 13
3.1 Relation of dots to patterns 25
6.1 Correlations of country risk, 1980–97 88
6.2 Correlations of country risk, 1980–89 88
6.3 Correlations of country risk, 1990–97 89
9.1 Threats to the supply chain links from source to destination 143
9.2 Cost by transportation sector 149
9.3 Costs of compliance with key US logistical security mandates 150
12.1 Environmental security risk vs company exposure strategy
matrix 199
viii
Contributors
Nancy J. Adleris a Professor of Organizational Behavior and Cross-cultural
Management at McGill University, Montreal, Canada.
Raj Aggarwal is Professor and Chair in Finance, at Kent State University,
Kent, OH, USA.
Ilan Alon is Associate Professor of International Business at the Crummer
Graduate School of Business, Rollins College, FL, USA.
Max Boisot is Adjunct Professor of Asian and Comparative Management at
INSEAD, Fontainebleau, France and Associate Fellow at Templeton College,
Oxford, UK.
Mason A. Carpenter is the Keller Associate Professor in Strategic
Management at the University of Wisconsin-Madison, Madison, WI, USA.
Claude Chailan is a Professor of Marketing at CERAM Sophia Antipolis,
France.
Luis Felipe Calderon-Moncloa is a Professor of Management at ESAN,
Lima, Peru.
David Gillingham is Pro-Vice-Chancellor, Dean and Professor of
Management Education at Coventry University, Coventry, UK.
John R. McIntyre is Executive Director and Professor of the Georgia Tech
DuPree College of Management Tech Center for International Business
Education and Research, Atlanta, GA, USA.
David L. McKee is Professor of Economics in the Graduate of School of
Management at Kent State University, Kent, OH, USA.
Bill McKelvey is Professor of Strategic Organizing at the University of
California Los Angeles Anderson School of Management, Los Angeles, CA,
USA.
AlexanderD. Stajkovicis an Assistant Professor of Organizational Behavior
at the University of Wisconsin-Madison, Madison, WI, USA.
David A.C. Suderis an Environment Expert at CANCA, Nice, France.
ix
x Contributors
Gabriele G.S. Suder is a Professor of International Business and Risk
Management at CERAM Sophia Antipolis, France.
Eric Ford Travis is a Research Fellow of the Georgia Tech Center for
International Business Education and Research, Atlanta, GA, USA.
David A. Wernick is Research Director of the Knight Ridder Center for
Excellence in Management at Florida International University’s College of
Business Administration, Miami, FL, USA.