The impact of information security failure on customer behaviors: A study on a large-scale hacking incident on the internet

MinJae Lee () and JinKyu Lee ()
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MinJae Lee: Kyung Hee University
JinKyu Lee: Oklahoma State University

Information Systems Frontiers, 2012, vol. 14, issue 2, No 17, 375-393

Abstract: Abstract This research examines the responses of online customers to a publicized information security incident and develops a model of retreative behaviors triggered by such a security incident. The model is empirically tested using survey data from 192 users of a recently compromised website. The results of the data analyses suggest that an information security incident can cause a measurable negative impact on customer behaviors, although the impact seems to be largely limited to that particular website. The tested model of retreative behaviors indicates that perceived damage and availability of alternative shopping sources can significantly increase retreative behaviors of victimized customers, while perceived relative usefulness and ease-of-use of the website show limited effects in reducing such behaviors.

Keywords: Information security; Online privacy; Security incident; Retreative behaviors; Perceived damage; Perceived risk; Shopping alternatives; Online customer behavior (search for similar items in EconPapers)
Date: 2012
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Citations: View citations in EconPapers (14)

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DOI: 10.1007/s10796-010-9253-1

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