According to many business publications, firms that experience information security breaches suffer substantial reputational penalties. This paper examines incidents in which confidential information - for a firm's customers or employees - is stolen from or lost by publicly traded companies....

Given the current risk environment, businesses are obligated to do their utmost to protect systems and ensure consumer confidentiality. Unfortunately, even the prudent and vigilant business entities may still be susceptible to data theft or other outside system intrusion. In this respect, sound...

The loss of private customer data such as Social Security numbers, credit card numbers, birth-dates, and other confidential information to unauthorized third parties presents a daunting set of challenges and legal obligations to affected businesses. Identity theft has been America's “fastest...

The authors conducted a survey of 502 Turkish and Australian undergraduate and graduate business and economic students to determine their views regarding the ethics of tax evasion. These two groups were selected on the premise that their views represented the perceptions of two very different...

This paper examines cultural differences in attitudes towards corruption by analysing individual-decision making in a corrupt experimental environment. Attitudes towards corruption play a critical role in the persistence of corruption. Our experiments differentiate between the incentives to...

Recent years have seen a rediscovery of the fact that a healthy financial and economic system cannot be based on the lowest common behavioural denominator of what is technically permissible under the black letter of the law. Something more is needed – variously described as ‘sound culture',...

Using a unique dataset of art auctions on eBay, we conduct an empirical analysis of the value of a seller's online reputation. Several aspects distinguish our work from most existing research. We analyze a heterogeneous panel data consisting of a large number of observations over a large period...

This paper uses the 2015 Volkswagen emissions scandal as a natural experiment to provide causal evidence that group reputation externalities matter for firms. We find that the Volkswagen scandal reduced the U.S. sales of the other German auto manufacturers—BMW, Mercedes- Benz, and Smart—by...

Is the reputation of a firm tradable when the change in ownership is observable? We consider a competitive market in which a share of owners must retire in each period. New owners bid for the firms that are for sale. Customers learn the owner's type, which reflects the quality of the good or...