I believe Israeli businesses will suffer as employees begin to enlist. Employees are essential for the company to run properly. If employees begin to enlist, this will hurt the business from running smoothly since they will be short on staff. Interviewing and training new staff takes time, which in return, costs money for the business. The lack of staff in between losing employees and hiring new ones could cause bad service at the business as well, causing customers to quit patronizing the place, and creating a drop in revenue.
As every citizen of Israel is required to serve in the military upon turning 18, the public is very aware of the costs, both financial and personal, of their military system therefore business will not be affected as more civilians enlist due to escalating conflicts with Hamas. Israeli citizens and its business community are prepared to handle a temporary decline as tensions are heightened but will recover quickly once the conflict is resolved.
There is mandatory service in Israel due to the fact they are constantly attacked and/or threatened by their neighbors. People enlisting will have little to no effect on Israeli businesses. There has not been any significant period of time over the last several thousand years when Israel was not under attack, so the people and business owners are used to and prepared for survival during a wartime environment.
I think we will seem something similar to what we saw during world war two. I think women and other people will step up to help the businesses that need help. I think there will always be people willing to work when their country is in the middle of a war.