IMPACTS OF DATA BREACHES ON ECOMMERCE GROWTH

Cretson L. Dalmadge, Winston Salem State University, Winston Salem, North Carolina, U.S.A.

Published in

INTERNATIONAL JOURNAL OF BUSINESS RESEARCH
Volume 19, Issue 1, p81-86, March 2019

ABSTRACT

This paper addresses the relationship between data breaches and ecommerce revenues growth in the United States. Data breaches are categorized on the five-point scale utilized buy the breach level index site and aggregated quarterly. eCommerce performance is addressed as growth in eCommerce revenues relative to the same quarter in the prior year. The findings show that while security breaches have often had devastating effects of individual firms, there is no evidence of broader ecommerce slowdown as a result of breaches. In fact, breach level and ecommerce growth is positively correlated for the majority of breach types. Only existential data (at level-4) is negative correlated to ecommerce growth. That is highly level existential data breach is negatively affecting ecommerce growth while other breach levels are simply growing as ecommerce grows but leading to no real negative trend.

Keywords

Ecommerce Growth, Security Breaches, Breach Types, Breach Levels.


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