Journal 12- Sample of Data Breach Letter

One of the economic theories expressed in the letter is “Rational choice theory.” This business decided it was worth the risk of using the third-party source whose servers were breached. The business made a rational choice, hopefully through a risk assessment, that using this third-party system was worth the risk, even if those third-party systems were breached. Another economic theory that I think plays in here is the Marxian economic theory. This company did not provide the affected users much help determining and mitigating whether their data was compromised. Typically, in some data breaches, a company will offer Identity theft monitoring accessible for its affected customers in the event of a data breach. In this case, the company provided no help to the individual other than some helpful advice and involving law enforcement. This action helps protect the business’s bottom line without having to compensate the individual whose life could have been drastically affected if their information was used maliciously.