Skip to main content

Analyzing the Economic Impacts of Security Breaches Due to Outsourcing

  • Conference paper
Global Security, Safety and Sustainability & e-Democracy (e-Democracy 2011, ICGS3 2011)

Abstract

In our study, we present four different approaches on the subject that are connected more or less to each other, giving more attention on outsourcing security issues. A case study for the use of outsourced services is also presented using empirical data from an insurance company. This work concludes with an overview of our research, its limitations and by giving some research questions for future work.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 39.99
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 54.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. Wang, T.W.: Essays on Information Security from an Economic Perspective. Center for Education and Research Information Assurance and Security Purdue University. Technical report (2009)

    Google Scholar 

  2. Ioannidis, C.: Investments and Trade-offs in the Economics of Information Security. School of Management, University of Bath, Hewlett-Packard Laboratories Bristol UK (2009)

    Google Scholar 

  3. Anderson, R.: Why Information Security is Hard: An Economic Perspective. University of Cambridge Computer Laboratory (2001)

    Google Scholar 

  4. Jorgensen, B.N., Kirschenheiter, M.T.: Discretionary Risk Disclosures. The Accounting Review 78(2), 449–469 (2003)

    Article  Google Scholar 

  5. Skinner, D.J.: Why Firms Voluntarily Disclose Bad News. Journal of Accounting Research 32(1), 38–60 (1994)

    Article  Google Scholar 

  6. Anderson, R., Böhme, R., Clayton, R., Moore, T.: Security Economics and the Internal Market. Report to the European Network and Information Security Agency, ENISA (2007)

    Google Scholar 

  7. Gordon, L.A., Loeb, M.P.: The Economics of Information Security Investment. ACM Transactions on Information and Systems Security 5(4), 438–457 (2002)

    Article  Google Scholar 

  8. Hausken, K.: Returns to Information Security Investment: The Effect of Alternative Information Security Breach Functions on Optimal Investment and Sensitivity to Vulnerability. Information Systems Frontiers 8(5), 338–349 (2006)

    Article  Google Scholar 

  9. Willemson, J.: On the Gordon & Loeb Model for Information Security Investment. In: The Fifth Workshop on the Economics of Information Security WEIS, Cambridge, UK (2006)

    Google Scholar 

  10. Anderson, R.J.: Why Cryptosystems Fail. Communications of the ACM 37(11), 32–40 (1994)

    Article  Google Scholar 

  11. Zhou, Z.Z., Johnson, M.E.: The Impact of Information Security Ratings on Vendor Competition. Center for Digital Strategies, Tuck School of Business Dartmouth College (2009)

    Google Scholar 

  12. Macura, I., Johnson, E.: Information Risk and the Evolution of the Security Rating Industry. Working paper, Tuck School of Business Dartmouth College (2009)

    Google Scholar 

  13. Kark, K.: Can Moody’s Solve Your Third Party Assessment Problem?, http://blogs.forrester.com/srm/2008/05/can-moodys-solv.html

  14. Kliger, D., Sarig, O.: The Information Value of Bond Ratings. The Journal of Finance 55(6), 2879–2902 (2000)

    Article  Google Scholar 

  15. Shapiro, C.: Investment, Moral Hazard, and Occupational Licensing. The Review of Economic Studies 53(5), 843–862 (1986)

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2012 ICST Institute for Computer Science, Social Informatics and Telecommunications Engineering

About this paper

Cite this paper

Koumaridis, D., Stiakakis, E., Georgiadis, C.K. (2012). Analyzing the Economic Impacts of Security Breaches Due to Outsourcing. In: Georgiadis, C.K., Jahankhani, H., Pimenidis, E., Bashroush, R., Al-Nemrat, A. (eds) Global Security, Safety and Sustainability & e-Democracy. e-Democracy ICGS3 2011 2011. Lecture Notes of the Institute for Computer Sciences, Social Informatics and Telecommunications Engineering, vol 99. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-33448-1_22

Download citation

  • DOI: https://doi.org/10.1007/978-3-642-33448-1_22

  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-642-33447-4

  • Online ISBN: 978-3-642-33448-1

  • eBook Packages: Computer ScienceComputer Science (R0)

Publish with us

Policies and ethics