Which of the following is a consequence of a data breach?

Prepare for the Information Systems and Controls (ISC) CPA Exam. Study with flashcards and multiple-choice questions, each with hints and explanations. Get ready to excel!

A data breach typically leads to various negative outcomes for an organization, and one significant consequence is business disruptions. When sensitive information is compromised, it can result in a range of operational challenges, including the need to address the breach, investigate the extent of the damage, and implement corrective measures. This often diverts resources away from normal business operations, impacting productivity and profitability. Additionally, the incident may require the company to engage in public relations efforts to manage reputation damage, further disrupting routine operations.

In contrast, increased customer loyalty, higher market share, and expansion of business opportunities are not typical consequences of a data breach. Instead, such incidents usually erode customer trust and confidence, as clients may hesitate to engage with a business that has suffered a data compromise. The aftermath of a data breach generally includes heightened scrutiny from regulators, potential legal ramifications, and a long period of recovery before normal business activities can resume.

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