Economic

Running Head: PROJECT: First Draft Submission 1

PROJECT: First Draft Submission / Performing Analysis 3

Economic

Firm and industry analysis

With the fast growth and technological advancement in this century, vulnerabilities and risks of data getting in the wrong hands have never been this high. Besides, phishing and hacking have also been on the rise as hackers try to steal intellectual property and other data in a bid to extort companies or for illegal use. This has greatly threatened the operations of businesses and they have opted to look for a way out to cushion themselves and their operations and maintain the safety of their data (McGeveran, 2018).

These imminent threats have resulted in the emergence of the data security industry which majors in offering security to businesses to allow them to proceed with their operations uninterrupted by data leakages, hacking and other forms of cyber-attacks. Firms in this industry are many, managing and offering IT support to businesses as well as offering consultancy services to them on how best they can protect their data and operations (Hoberg & Phillips, 2016).

They also carry out tests to evaluate the vulnerability of businesses to cyber threats and take corrective measures. This industry has been a great player in the world economies and its absence is nothing to be thought of. It has created not only jobs but livelihoods for millions of people as well as supporting governments as they fulfill public and civic duties. Besides that, it has been a support system for the other industries as they rely on it for data security services.

One of the companies in the data security industry is CISCO. CISCO is a global IT solutions leader offering product ranging from security, cloud computing services, and software applications among others. The firm has been a major player economically and has thrived amongst many competitors in the same industry. Economically, it has been able to meet its profit maximization goal as well as maximize the shareholders’ wealth.

References

Hoberg, G., & Phillips, G. (2016). Text-based network industries and endogenous product differentiation. Journal of Political Economy, 124(5), 1423-1465.

McGeveran, W. (2018). The Duty of Data Security. Minn. L. Rev., 103, 1135.