• Journal of Information Technology Services
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• v.17 no.1
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• pp.33-45
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• 2018

Recently, many South Korean firms have suffered financial losses and damaged corporate images from the data breaches. Accordingly, a firm should manage their IT assets securely through an information security investment. However, the difficulty of measuring the return on an information security investment is one of the critical obstacles for firms in making such investment decisions. There have been a number of studies on the effect of IT investment so far, but there are few researches on information security investment. In this paper, based on a sample of 76 investment announcements of firms whose stocks are publicly traded in the South Korea's stock market between 2001 and 2017, we examines the market reaction to information security investment by using event study methodology. The results of the main effects indicate that self-developed is significantly related to cumulative average abnormal returns (CAARs), while no significant effect was observed for discloser, investment characteristics and firm characteristics. In addition, we find that the market reacts more favorably to the news announced by the subject of investment than the vendor, in case of investments with commercial exploitation. One of main contributions in our study is that it has revealed the factors affecting the market reaction to announcement of information security investment. It is also expected that, in practice, corporate executives will be able to help make an information security investment decision.

• Knowledge Management Research
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• v.20 no.4
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• pp.39-55
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• 2019

Although Firms have been increasing their information security significantly to handle increased security risks, the effects of information security were not well understood. This study aims to investigate the market value of information security by employing the event study methodology. Our research also explores how market responses vary depending on the type of information security announcements. We collected 177 firm-level information security announcements between 2001 and 2017 in South Korea. For all samples, our results indicate that the stock market positively reacts to information security announcements. We also conducted subsample analysis and found that while information security certification announcement has a positive impact on the stock market, information security activities (e.g. award, information security system) announcement had no impact on the stock market. Our study adopted a novel approach (i.e. event study) for investigating the effects of information security and found that information security investment positively affects firm value. Our results allow managers to measure the effects of information security investment and help them make right decisions on information security investment.

• The Journal of Industrial Distribution & Business
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• v.1 no.1
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• pp.23-31
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• 2010

In this study, market orientation affects the real estate transaction and about the various parameters examined, the real estate transactions, market orientation and intensity of competition in the market upheaval and the impact was seen on the results can be summarized as follows. First, market orientation and about the relationship between real estate transactions were examined. Each variable of customer satisfaction information generation, information dissemination, information was used for the reaction. Among them, the dissemination of information, information about the reaction produces a lot better the customer satisfaction was the result. In other words, the dissemination of information and availability of information to real estate transactions, the more you can improve customer satisfaction. While the information does not appear to be generated as a result of the impact of market orientation when the first phase of the creation of market information and the customer's needs and preferences of current and future information and external factors affecting them to gather information about It is difficult to assess realistically can be seen. This is both our customers and dealers in real estate purchase or trade items for the exact targets, but the general approach the start of trading because by necessity. Therefore, a clear standard for real estate deals in and nine minutes to all sellers of real estate purchases through a process of communication to enable effective approach should be. Second, market orientation and about the relationship between real estate transactions were examined. The information for each variable in re-creating transactions, information dissemination, information was used for the reaction. Variable affects all the information creation, dissemination of information, information about the reaction the better the deal re-done show that two can be frequent. In other words, information generation, information dissemination and utilization of information to real estate transactions, the more customers the added responsibilities of the re-trade can be seen. Third, the relationship between market orientation and in the real estate market upheaval of environmental factors on the relationship between gender were examined. Each variable of customer satisfaction information generation, information dissemination, information was used for the reaction. Among them, the dissemination of information, information about the reaction produces a lot better the customer satisfaction was the result. In other words, the dissemination of information, depending on the market upheaval and the availability of information to raise the real estate can increase customer satisfaction. Fourth, market orientation and environmental factors in the relationship between real estate transactions and about the relationship between competition intensity was investigated. The information for each variable in re-creating transactions, information dissemination, information was used for the reaction. Variable affects all the information creation, dissemination of information, information about the reaction the better the deal re-done show that two can be frequent. In other words, information generation, information dissemination and utilization of information and the higher intensity of competition or unyounghameusseo ttaemaewoo active real estate transactions to provide our customers the added responsibilities of the re-trade can be seen. If more comprehensive, market orientation, according to real estate transactions and environmental factors affecting the performance was also different. Abundance of information about the current real estate it is true that the accuracy and reliability, and real estate, and are unsure about the expected benefits. So you want to trade to provide accurate information to customers and markets change rapidly and competition is severe, with more information if you have reliable information to the customer must supply can increase trading performance. Guarantee of future customer transactions and can provide valuable information and research needs to be differentiated based on the provision of real estate information should be done to achieve profitability will be a cow brokerage.

• Journal of Distribution Science
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• v.20 no.9
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• pp.73-81
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• 2022

Purpose: This study aimed to examine whether key audit matters (KAMs) readability influences investor reaction. Research design, data, and methodology: The signaling theory was applied to explain the behavior of investors when they receive useful information for their decisions. Data were collected from 1,866 firm-year observations from Thai listed companies in both the Stock Exchange of Thailand (SET) and the Market for Alternative Investment (MAI) for the fiscal years of 2016-2019. The study was based on secondary data, which were collected from the SET Market Analysis and Reporting Tool (SETSMART) database and the Stock Exchange of Thailand's website (www.set.or.th). A statistical regression method was used with panel data analysis to evaluate possible associations between KAMs readability and investor reaction. The study relied on popular readability measures (Fog Index). Moreover, investor reaction was measured by absolute cumulative abnormal return and abnormal trading volume. Results: It was found that the KAMs readability has positive significance on both absolute cumulative abnormal return and abnormal trading volume. Conclusion: This study showed a significant contribution to the implication of KAMs in an emerging economy. The results reveal that more readable KAMs disclosure distributed new insights and useful information to investors and led to reducing the information gap between auditors and investors.

• The Korean Journal of Financial Management
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• v.22 no.2
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• pp.107-133
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• 2005

The object of this study is to examine the informational effect of the rating change announcement on the capital market. For this study, daily stock prices from January 1993 to February 2001 and daily bond prices from July 2000 to February 2001, for the bond market are used. In the stock market, we could not observe any statistically significant stock price reaction to rate change announcements from July 2000 to February 2001. However, if rating agencies announce more than two degradation for the period of January 1993 to February 2001, statistically negative significant stock price reactions are observed. On the other hand, there is no statistically significant stock price reaction to any other rating change announcement. In the bond market, there is no statistically test on the bond price reaction, but the general directions of bond price movements are consistent with the effect we can expect from rating change announcements. Generally, when the rating agencies degraded more than two grades at once, a cumulative abnormal returns move negatively during the overall period. In this case, we can say that rating agencies' role is to confirm information or investor's expectations. However, for the other cases, we could not observe my significant movement before or on the event data.

• International Area Studies Review
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• v.22 no.4
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• pp.3-18
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• 2018

In this study, I examined capital market shock reaction effects of 29 OECD countries with the past 24 years sample period consisting of daily stock market return using T-GARCH model focused on volatility feedback hypothesis. US daily stock market return is used as a unique independent variable in this model in consideration of its characteristics of biggest market share and as an origin country of Global Financial Crisis. As a result, France, Finland, and Mexico in order are shown to be the strongest countries in the aspect of return spillovers from US. Canada, Mexico, and France are shown to be the highest countries in the aspect of explanatory power of model. The degrees of shock reaction are proved to be higher in order in Germany, Chile, Switzerland, and Denmark and those of downside shock reaction are seen higher in order in Greece, Great Britain, Australia, and Japan. Canada and Mexico belonging to NAFTA are shown to be higher in the return spillover from US and in the model explanatory power, but they are shown to be lower in the impact of shock reaction, suggesting that regional distance effect or gravity theory cannot be applied to financial spillovers any longer. In the analysis of subsample period of Global Financial Crisis, north American three countries do not show any consistent results as in the full sample period but shock reaction in the European countries are shown to record stronger, suggesting that shocks from US in the Crisis Times are transferred mainly to European region.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.2
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• pp.697-710
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• 2021

The purpose of this study is to explore the reaction of sharia stock in the Indonesian capital market to the global Covid-19 pandemic. The method used in this study is an event study with a Market Adjusted Model (MAM) approach. The population of this study is shares listed on the Indonesian Stock Exchange (IDX), with the sample chosen from the Jakarta Sharia (Islamic) Index. The result of this study found that the global Covid-19 pandemic is bad news, with the indicators as follows: a) the average expected return is negative; b) the average actual return is negative; c) the average abnormal return is negative, and d) the increase selling action of stock as a cut loss strategy. There is a negative abnormal return and significant Trading Volume Activity (TVA) before, during, and after the announcement of the global Covid-19 pandemic. However, this study found no difference in abnormal return and TVA before and after the announcement of the global Covid-19 pandemic. From these results, this study indicates that the sharia stocks in the capital market in Indonesia can respond quickly to the information that existed. Therefore, the capital market of Indonesia is a capital market with a semi-strong efficient form.

• The Journal of the Korea institute of electronic communication sciences
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• v.6 no.2
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• pp.280-287
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• 2011

The purpose of this study is to analyze that ordinary housing stability policy determines the impact on housing prices. I got a conclusion such as the result next which carried out proof analysis for this. First, as a result of the Granger Causality Test, the house market of all areas appeared by affecting ordinary housing stability policy. Second, the shock reaction shows the reaction of the department (-) in all areas and ordinary housing stability policy appeared to be contributed to some extent house market stability. Third, as a result of having analyzed Logit Regression Analysis, ordinary housing stability policy appeared to considerable effects house market stability except Kangnam area of the Roh Moo-hyun government.

• Journal of the Korea Society of Computer and Information
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• v.21 no.11
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• pp.151-158
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• 2016

This study analyzes the stock market reaction of disclosure of technological information using events which are collected in the Korean stock market for the thirteen-year period between January 2002 and December 2014. We find that abnormal return on the disclosure day of full sample firms is positive and statistically significant. However, abnormal return of high R&D intensity subsample is a larger positive number than that of the low one. Using a longer window, it shows that low R&D intensity negatively decreases the long term performance after the adoption of new technological information. The empirical evidence of the studying is expected to serve as a good judging guide-line for the investors.

• Journal of Global Scholars of Marketing Science
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• v.16 no.2
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• pp.95-108
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• 2006

The major objective of this study is to test if an Olympic Games sponsorship program can influence investors' behavior: stock returns, stock volatility and transaction volumes. The paper deals with stock market reaction on Olympic sponsorship announcement for service organizations using event study method. Our research intention is to test 440 daily stock prices and transaction volumes, in order investigate the potent influence between the announcement of a grand sport sponsorship program and investors' behavior. For this study we examined the announcement data of three grand sponsors of Olympic Games of Athens 2004 (Alpha Bank. Delta and G.T.O) The main contribution of this study is to examine how stock investors' behavior is influenced by the sponsorship program of companies and to extend research scope of marketing field toward stock market. They authors suggest that organizations interested in influencing investors' behavior should invest in sponsorship activities at the sports' sector.