TY - JOUR
T1 - Impact of information technology (IT) security information sharing among competing IT firms on firm’s financial performance
T2 - An empirical investigation
AU - Appan, Radha
AU - Bačić, Dinko
N1 - Publisher Copyright:
© 2016 by the Association for Information Systems.
PY - 2016
Y1 - 2016
N2 - Traditionally, IT firms closely guard the management and control of critical information assets. A group of IT firms, however, adopted a different approach and formed an organization with the goal of sharing critical IT security information with industry peers (firms in the same industry that do not directly compete) and competitors to more effectively manage IT security. The inherent vulnerability in sharing critical information with other (potentially competing) firms presents an interesting, coopetition paradox for firms. Drawing from the theoretical foundations of the relational view of the firm that resolves the coopetition paradox, we conducted an empirical test to determine whether security information sharing impacts firm’s financial performance. Our findings suggest that IT firms engaged in interfirm security information sharing outperform their industry peers in terms of operational costs and overall profitability.
AB - Traditionally, IT firms closely guard the management and control of critical information assets. A group of IT firms, however, adopted a different approach and formed an organization with the goal of sharing critical IT security information with industry peers (firms in the same industry that do not directly compete) and competitors to more effectively manage IT security. The inherent vulnerability in sharing critical information with other (potentially competing) firms presents an interesting, coopetition paradox for firms. Drawing from the theoretical foundations of the relational view of the firm that resolves the coopetition paradox, we conducted an empirical test to determine whether security information sharing impacts firm’s financial performance. Our findings suggest that IT firms engaged in interfirm security information sharing outperform their industry peers in terms of operational costs and overall profitability.
KW - Coopetition
KW - Firm performance
KW - IT security
KW - IT-ISAC
KW - Information sharing
KW - Relational view of the firm
UR - http://www.scopus.com/inward/record.url?scp=84990821930&partnerID=8YFLogxK
U2 - 10.17705/1cais.03912
DO - 10.17705/1cais.03912
M3 - Article
AN - SCOPUS:84990821930
SN - 1529-3181
VL - 39
SP - 214
EP - 241
JO - Communications of the Association for Information Systems
JF - Communications of the Association for Information Systems
IS - 1
M1 - 12
ER -