@inproceedings{312511af46ba4511bd4f1c82137f19d0,
title = "The Effects of Data Breaches on Public Companies: A Mirage or Reality?",
abstract = "Public companies are often criticized for their lackluster approach to cybersecurity investments. Critics assert that there are no financial incentives for public companies to invest in cybersecurity. Previous studies have mostly focused on the effects of data breaches on the market value of public companies. Nonetheless, this study focused on the impact of data breaches on revenue, net income and marketing expenses of public companies. Results of the study indicated that data breaches have significant impact on revenue but not on net income and marketing expenses. These results affirm the assertion that public companies do not have sufficient financial incentives to invest against data breaches. Therefore, we assert that public companies not only need to look at their bottom line but also consider non-financial incentives when making decisions regarding cybersecurity investments.",
keywords = "Cybersecurity investment, Data breach effects, Marketing expense, Public companies, Revenue",
author = "Bright Frimpong and Lei Chen",
note = "Publisher Copyright: {\textcopyright} 2021, The Author(s), under exclusive license to Springer Nature Switzerland AG.; Future of Information and Communication Conference, FICC 2021 ; Conference date: 29-04-2021 Through 30-04-2021",
year = "2021",
doi = "10.1007/978-3-030-73100-7_49",
language = "English",
isbn = "9783030730994",
series = "Advances in Intelligent Systems and Computing",
publisher = "Springer Science and Business Media Deutschland GmbH",
pages = "674--683",
editor = "Kohei Arai",
booktitle = "Advances in Information and Communication - Proceedings of the 2021 Future of Information and Communication Conference, FICC",
address = "Germany",
}