caa a22 4500 606229329 CHVBK 20210128101208.0 cr unu---uuuuu 210128e20150401xx s 000 0 eng 10.1007/s10796-013-9411-3 doi (NATIONALLICENCE)springer-10.1007/s10796-013-9411-3 Security investment and information sharing under an alternative security breach probability function [Elektronische Daten] [Xing Gao, Weijun Zhong, Shue Mei] Nowadays, in order to protect information assets, many firms have gradually realized the importance of security investment and information sharing. It is worth pointing out that security breach probability functions play a vital role in firms' strategic choices. This paper investigates how to determine security investment and information sharing for two firms by employing an alternative well-accepted security breach probability function. In particular, assuming that both firms make their decisions individually, we analyze information sharing, aggregate attack, aggregate defense and the security breach probability at equilibrium. Then we compare these results with those in three (partially) centralized decision cases where a social planner regulates security investment, information sharing or both of them. Between the individual decision case and the partially centralized decision case with the social planner only controlling information sharing, and between the centralized decision case and the other partially centralized decision case, we demonstrate that, although aggregate attack, aggregate defense and the security breach probability remain unchanged, more intervention from the social planner would give rise to higher social welfare. Besides, it turns out that some well-known results of Hausken (Journal of Accounting and Public Policy, 26(6), 639-688, 2007) drastically change in our framework. Springer Science+Business Media New York, 2013 Security investment nationallicence Information sharing nationallicence Interdependence nationallicence Social planner nationallicence Security breach probability function nationallicence Gao Xing School of Economics and Management, Southeast University, Nanjing, Jiangsu, China aut Zhong Weijun School of Economics and Management, Southeast University, Nanjing, Jiangsu, China aut Mei Shue School of Economics and Management, Southeast University, Nanjing, Jiangsu, China aut Information Systems Frontiers Springer US; http://www.springer-ny.com 17/2(2015-04-01), 423-438 1387-3326 17:2<423 2015 17 10796 https://doi.org/10.1007/s10796-013-9411-3 text/html Onlinezugriff via DOI BK010053 XK010053 XK010000 Metadata rights reserved Springer special CC-BY-NC licence nationallicence 1 research-article jats NATIONALLICENCE NATIONALLICENCE NL-springer NATIONALLICENCE 856 40 https://doi.org/10.1007/s10796-013-9411-3 text/html Onlinezugriff via DOI NATIONALLICENCE 700 1- Gao Xing School of Economics and Management, Southeast University, Nanjing, Jiangsu, China aut NATIONALLICENCE 700 1- Zhong Weijun School of Economics and Management, Southeast University, Nanjing, Jiangsu, China aut NATIONALLICENCE 700 1- Mei Shue School of Economics and Management, Southeast University, Nanjing, Jiangsu, China aut NATIONALLICENCE 773 0- Information Systems Frontiers Springer US; http://www.springer-ny.com 17/2(2015-04-01), 423-438 1387-3326 17:2<423 2015 17 10796