The conflict in the Middle East seems far off and removed from everyday business unless you have customers or suppliers there. As the danger of a broader conflict intensifies, so does the possibility of daily business being affected. How do you navigate the risks to your business that geopolitical conflicts pose?
Even with all the talk of moving to green energy, the world still runs on oil. And the Middle East is a significant producer. Conflict in the region can drive up oil prices and disrupt supply.
The biggest threat due to the conflict is an adverse impact on supply chains and global trade. The Suez Canal is a major chokepoint for container ships. Technology makes up eighteen percent of Israel’s GDP.
Israel imports many goods from the US, and the conflict limits the ability to get goods in and out of Israel. Our 21st-century strife often involves cyberattacks from hackers aligned with one side or the other. Expect a rise in cyberattacks if the conflict escalates.
What can a small business do to prepare? Be cognizant of every link in your supply chain, and consider alternate strategies for vulnerable links. Expand your ability to source from other areas of the world.
Know your customers and suppliers well and draw up contingency plans for disruptions. Keep on top of your cybersecurity. It’s an excellent time to enhance your security and look for possible holes.
Author: Kris Keppeler is a writer who finds technology fascinating and loves humor. She writes on Medium.com, and for Women of Wisdom. An award-winning podcast producer who enjoys telling funny stories. Follow her on X (formerly Twitter) @KrisNarrates or on LinkedIn.
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