How did the Israeli-Palestinian conflict impact other businesses?

Beginning from 1948, conflict arose again in 2023 between Israel and Palestine. Their war is in the region of the major oil producers in the Middle East. This means that there is a high possibility for the conflict to be spread to Iran, which is one of the major oil industries. This has caused fears among the businesses as the price of oil seems to rise.

The oil price has already risen from other wars such as the war between Russia and Ukraine. Industries like cosmetics have been significantly impacted by the price change in oil. The rise in oil prices has led to increased production costs for the cosmetics industry, as many cosmetic products rely heavily on ingredients that contain oil. As a result, companies in the cosmetics sector are facing challenges in maintaining their profit margins and may need to consider alternatives to lower the impact of higher oil prices. Additionally, consumers are going to impact as well since their retail prices are likely to increase. Furthermore, the cosmetics industry may also face competition from other industries that use oil-free ingredients or other alternatives. Higher competition not only applies to the cosmetic industry, but also affects other industries that rely on oil-based ingredients.

As oil is a primary material that many businesses use to produce their products, the increase in price of oil can have a significant impact on the overall cost of production and on major industries. Oil is likely to become limited as the war continues meaning that industries would have to come up with strategies such as pricing strategies or to come up with new products in order to overcome the impacts of decreasing oil availability.