What is the effect of a security breach?(1 point) Responses increase in revenue, reputational well-being, labor loss, data loss
- Increase in revenue: A security breach can have a negative impact on a company's revenue. It can lead to financial losses due to legal and regulatory fines, compensation to affected customers, and costs associated with restoring systems and security measures.
- Reputational well-being: Security breaches can severely damage a company's reputation. Customers may lose trust in the organization's ability to protect their data, leading to a loss of business and potential customers opting for competitors. Rebuilding a damaged reputation can be a long and challenging process.
- Labor loss: A security breach can result in the loss of skilled employees. If a breach exposes sensitive employee information, employees may no longer feel secure working for the company, leading to increased turnover rates. Additionally, diverting resources towards resolving the breach can cause disruption and loss of productivity.
- Data loss: One of the direct consequences of a security breach is the loss or exposure of sensitive data. This can have far-reaching implications, including identity theft, financial fraud, and potential legal consequences. Losing customer data can lead to lawsuits and damage to relationships with clients, suppliers, and partners.