17.2 Organizational Perspective

(Kelly D. Martin, Borah, and Palmatier 2017): The impacts of a data breach on a company’s performance are mitigated by the provision of transparency and control, which compensate for the vulnerabilities highlighted by consumers and mitigate the impact of a data breach on firm performance.

(Kelly D. Martin and Murphy 2016) The low likelihood of litigation paired with the backdrop of a data breach (a potentially rare event in some industries) suggests that businesses would continue to advocate modest consumer information privacy regulation, keeping the privacy management parts under their control.

References

Martin, Kelly D, Abhishek Borah, and Robert W Palmatier. 2017. “Data Privacy: Effects on Customer and Firm Performance.” Journal of Marketing 81 (1): 36–58.

Martin, Kelly D., and Patrick E. Murphy. 2016. “The Role of Data Privacy in Marketing.” Journal of the Academy of Marketing Science 45 (2): 135–55. https://doi.org/10.1007/s11747-016-0495-4.