Expert Speak Raisina Debates
Published on May 14, 2024

The Boycott, Divestment, and Sanctions (BDS) movement has gained momentum as more people protest against Israel’s actions in Gaza by boycotting Israeli products

Examining economic boycotts: The case of the Israel-Palestine conflict

Against the backdrop of the ongoing Israel-Palestine conflict, large swathes of people across the world have taken to protesting against the Israeli government’s actions by boycotting any product that has connections to or investments in Israel. The call to avoid the usage of these products was spearheaded by the Boycott, Divestment, and Sanctions (BDS) movement, which was formed in 2005 and has been echoed by several advocacy groups across the world. While there have been some successes previously, the most recent wave has yielded some significant losses for companies which have invested in Israel and will likely continue to create an impact over the coming year.

For instance, in the most recent listing of its quarterly performance, the coffee conglomerate Starbucks whose founder Howard Shultz is an avowed supporter of Israel, posted significant losses and decreased sales. This was accompanied by similar news in Malaysia where the famous fast food brand KFC announced the closure of nearly 100 of its branches across the nation (even though KFC has not been identified by the BDS movement to be boycotted but rather seen as a sign of American imperialism). Similarly, McDonald’s also purchased all its Israeli outlets from the company that controlled it in Israel, Alonyal, in April 2024 after consumers boycotted the company across the Middle East for giving free meals to the Israeli military.

The fact that most of the products with such connections are American and are ubiquitous across the world makes it easier for customers in places like the Middle East and South Asia to boycott such products.

Indeed, since 7 October, several apps have popped up that are being used to scan barcodes of various products and inform consumers about the Israeli connections to these companies. Although they are only used by a small percentage of people, they still have garnered some significant users. For example, the No Thanks app has been downloaded over 1 million times and the Boycat app has been estimated to divert over US$ 2.5 million from companies linked to Israel. The fact that most of the products with such connections are American and are ubiquitous across the world makes it easier for customers in places like the Middle East and South Asia to boycott such products. It is therefore not a stretch to say that the BDS movement has gained momentum and that its successes will spur on such activism.

Understanding the history and success of boycotting

Boycotts have had a significant impact in the modern period. The most famous boycott movement was the Anti-Aparthied Movement seen between 1960–1990 which focused on asking South African consumers to check the labels before buying products emerging from certain companies. According to some analysts, this did have an impact over the long term although it was combined with other measures against the regime there. Similarly, Nike was in the crosshairs of several activist groups in the 1990s that boycotted the company due to its association with child labour—a policy that the company eventually reversed.

Scholars who have studied these movements have pointed out several components that make up a successful boycott movement. Firstly, for consumers to eschew any product they see linked with a cause they disagree with, it has to be something that has clear alternatives. Fast food chains like McDonald’s, KFC (even though its not actually linked to Israel but rather seen as a symbol of ‘American imperialism’) and Starbucks are among the biggest losers of the current movement, especially in the Middle East, precisely because there are several alternatives available for such products. This is also why companies like Google, Amazon, and Oracle softwares (which have all been identified by the BDS movement as being linked to Israel) have not been affected as much given that there are no major software/platform that can act as an alternative.

With social media influencers and the public using platforms such as TikTok, Instagram, and WhatsApp and different tools of activism to discuss the Israel–Palestine issue, it is easier for consumers to look out for alternatives.

Secondly, the importance of the news cycle and social media cannot be overestimated in expanding boycotts beyond the geographic scope of where the event takes place. With social media influencers and the public using platforms such as TikTok, Instagram, and WhatsApp and different tools of activism to discuss the Israel–Palestine issue, it is easier for consumers to look out for alternatives. These apps have helped spread the word across the world ranging from Southeast Asia, the Middle East, and the West among other regions.

Third, active political conflagration serves as a great motivation to sustain the momentum. The fact that Israel has not stopped its military operations across Gaza for over six months now with larger geopolitical repercussions in the region has meant that citizens across the world lead the issue to be active. That is why this round of hostilities has led to some of the highest levels of activism across the world. Moreover, the labelling of Israel’s activities in Gaza as ‘genocidal’ by several UN experts certainly helps to keep the movement going.

Importantly, a strong boycott of any corporate entity is not just useful because of people not buying the product but also because the reputation of such companies are affected leading to shareholders getting spooked and pulling out their investments from such companies. The falling stock valuation of such corporations can represent huge losses for such companies.

Future of political boycotts

As scholar Brayden King pointed out, the difference between an effective and ineffective boycott lies in the organisation behind it. While local grassroots movements often fizzle out once the news cycle changes, a more organised effort can sustain the movement especially if the issue persists in public discourse. Moreover, news headlines which signify a nominal level of success can pull more people towards it, representing a tipping point in the efforts of protestors.

While local grassroots movements often fizzle out once the news cycle changes, a more organised effort can sustain the movement especially if the issue persists in public discourse.

Thus, over the last few weeks, news of various universities across the United Kingdom and the United States protesting their own institution’s investments in weapons countries linked to Israel has been dominating news cycles in the West. This demonstrates that citizens still look to forms of activism and protests to try and make a difference regarding a conflict and its trajectory.

For consumers, given the fact many are in opposition to their respective governments’ support for Israel, boycotts are the easiest way to display their anger over any political issues. Given that no government can force consumers to buy products, there is no way to regulate such movements. In several ways then, the future of the BDS movement and its success lies in the escalation or de-escalation of the war in Gaza. With the conflict continuing in the region for now, the movement will likely grow in the short-term future before it wanes again. Moreover, it is also clear that any successes of the BDS movement itself will ensure that boycotts will form an important part of the response to contested political activities or policies, be it on the issue of Palestine or elsewhere.


Mohammed Sinan Siyech is a Non-Resident Associate Fellow at the Observer Research Foundation

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Mohammed Sinan Siyech

Mohammed Sinan Siyech

Mohammed Sinan Siyech is a Non – Resident Associate Fellow working with Professor Harsh Pant in the Strategic Studies Programme. He will be working on ...

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