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Effect of Information Security Incident on Outcome of Investment by Type of Investors: Case of Personal Information Leakage Incident
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 Title & Authors
Effect of Information Security Incident on Outcome of Investment by Type of Investors: Case of Personal Information Leakage Incident
Eom, Jae-Ha; Kim, Min-Jeong;
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As IT environment has changed, paths of information security in financial environment which is based on IT have become more diverse and damage caused by information leakage has been more serious. Among security incidents, personal information leakage incident is liable to give the greatest damage. Personal information leakage incident is more serious than any other types of information leakage incidents in that it may lead to secondary damage. The purpose of this study is to find how much personal information leakage incident influences corporate value by analyzing 21 cases of personal information leakage incident for the last 15 years 1,899 listing firm through case research method and inferring investors` response of to personal information leakage incident surveying a change in transaction before and after personal information leakage incident. This study made a quantitative analysis of what influence personal information leakage incident has on outcome of investment by types of investors by classifying types of investors into foreign investors, private investors and institutional investors. This study is significant in that it helps improve awareness of importance of personal information security by providing data that personal information leakage incident can have a significant influence on outcome of investment as well as corporate value in Korea stock market.
Personal Information leakage;Stock Return;Valuation;Investors trading behavior and Performance;
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