“Read this https://dojmt.gov/wp-content/uploads/Glasswasherparts.com_.pdfLinks to an external site. sample breach letter “SAMPLE DATA BREACH NOTIFICATION” and describe how two different economics theories and two different social sciences theories relate to the letter.“

Economic Theories

The first economic theory that relates to the breach letter is the game theory. The game theory is used to predict behaviors, model complex interactions, along with inform decision making, along with outweighing costs vs benefits. In relation to the breach letter, the company must weigh the costs of notifying the individuals against the potential benefits of maintaining transparency and trust. While in return, the individuals must decide whether they want to act or remain passive. The other economic theory that relates to the following pdf is the asymmetric information theory. The asymmetric information theory describes the imbalance of information between buyers and sellers, while suggesting that the imbalance can lead to market failure. This relates to the breach letter since they possess the knowledge about the breech, while the affected individuals lacked knowledge. The notification letter then aimed to reduce this asymmetry by providing individuals with the necessary information to make their own informed decisions. 

Social Science Theories 

The first social science theory that I think relates is the social identity theory. The social identity theory explains individuals place in society, social categorization, and social identification. Within the breach notification letter, it addressed customers as a distinct group, acknowledged their relationship with the organization. Recognizing this maintains the social bonds, while reassuring their customers that their concerns are being addressed. The next theory that relates to the breach notification letter is the crisis communication theory. The crisis communication theory are the response strategies that are used by organizations to handle a crisis. Within the letter there were three crisis communication principles that were used. Below I have identified and explained each principle.

Transparency –

The transparency principle explains the breach and its consequences clearly.

Accountability –

The accountability principle is taking responsibility for the incident.

Remediation –

The remediation principle is offering solutions and support.