USER compensation as a data breach recovery action: An investigation of the sony playstation network breach

Sigi Goode, Hartmut Hoehle, Viswanath Venkatesh, Susan A. Brown

Research output: Contribution to journalArticle

17 Scopus citations

Abstract

Drawing on expectation confirmation research, we develop hypotheses regarding the effect of compensation on key customer outcomes following a major data breach and consequent service recovery effort. Data were collected in a longitudinal field study of Sony customers during their data breach in 2011. A total of 144 customers participated in the two-phase data collection that began when the breach was announced and concluded after reparations were made. Using polynomial modeling and response surface analysis, we demonstrate that a modified assimilation-contrast model explained perceptions of service quality and continuance intention and a generalized negativity model explained repurchase intention. The results of our work contribute to research on data breaches and service failure by demonstrating the impacts of compensation on customer outcomes. We discuss theoretical and practical implications.

Original languageEnglish (US)
Pages (from-to)703-727
Number of pages25
JournalMIS Quarterly: Management Information Systems
Volume41
Issue number3
DOIs
StatePublished - Sep 2017

Keywords

  • Compensation
  • Data breach
  • Security
  • Service recovery
  • Sony

ASJC Scopus subject areas

  • Management Information Systems
  • Information Systems
  • Computer Science Applications
  • Information Systems and Management

Fingerprint Dive into the research topics of 'USER compensation as a data breach recovery action: An investigation of the sony playstation network breach'. Together they form a unique fingerprint.

  • Cite this