Risky Business: How Can U.S. Companies Protect Their Digital

Risky Business: How Can U.S. Companies Protect their Digital Assets Overseas?

Risky Business: How Can U.S. Companies Protect their Digital Assets Overseas? Prepare a 3 to 5 paragraph briefing statement that can be used to answer the above question. Your audience will be senior leaders who provide expert advice and opinion to the governance board in their respective companies. Post your briefing statement as a reply to this topic. Provide in-text citations and references for 3 or more authoritative sources.

Protecting digital assets overseas is a complex challenge that requires a strategic approach grounded in ethical theory and robust cybersecurity practices. Stakeholder theory emphasizes that companies have a responsibility to consider the interests of all stakeholders, including customers, employees, shareholders, and international partners. This perspective compels companies to invest appropriately in cybersecurity to safeguard sensitive data and maintain stakeholder trust. According to Freeman (2010), organizations that prioritize stakeholder interests are more likely to allocate resources toward cybersecurity initiatives that protect their assets against evolving global threats. The ethical obligation to protect stakeholder data reinforces the necessity of investing in advanced security measures, such as encryption, intrusion detection systems, and continuous risk assessment.

Furthermore, social contract theory provides a moral foundation for cybersecurity investments by framing these efforts as part of a reciprocal agreement between the company and society. Corporations, by operating in international environments, benefit from societal stability and trust, which are contingent upon their commitment to cybersecurity. As Zeng and Goh (2017) highlight, societal expectations and legal requirements impose a moral duty on companies to implement adequate safeguards, especially when operating across borders, where regulatory standards may differ. This social contract incentivizes firms to adopt best practices, comply with international cybersecurity regulations, and actively participate in global information-sharing networks to reduce risks.

However, IT security managers face numerous ethical dilemmas when selecting cybersecurity products and services. One issue involves balancing the deployment of intrusive monitoring tools with user privacy rights—a dilemma exemplified by surveillance software that might infringe on employee privacy while aiming to detect insider threats. Another ethical concern pertains to vendor transparency; managers must evaluate whether providers honestly disclose vulnerabilities or overstate security guarantees, which can mislead companies about the actual protection provided. A third challenge relates to equitable access: ensuring that cybersecurity investments do not disproportionately benefit or disadvantage certain groups or regions, especially in developing countries where resource constraints are significant. Navigating these ethical considerations requires adherence to professional codes of conduct and ongoing ethical training for IT security staff.

Paper For Above instruction

Protecting digital assets internationally is a critical concern for U.S. companies amidst increasingly sophisticated cyber threats and complex regulatory environments. The strategic use of stakeholder theory emphasizes that organizations must consider the interests of all relevant parties—ranging from customers to international partners—when implementing cybersecurity measures. By investing in robust security frameworks, companies can fulfill their moral and ethical obligations to protect stakeholder data and maintain trust. These investments include deploying advanced encryption protocols, conducting regular vulnerability assessments, and establishing proactive incident response strategies. Such measures are necessary not only to comply with legal standards but also to uphold ethical commitments to safeguard the digital privacy and security of those connected to the company,” (Freeman, 2010; Ginter, 2018).

Social contract theory complements this approach by framing cybersecurity as a reciprocal obligation between corporations and society. As companies operate across borders, they benefit from societal stability, which depends on the companies’ adherence to security standards. By proactively implementing cybersecurity safeguards, organizations uphold their side of this social contract, fostering trust and stability both locally and internationally. This approach involves complying with international regulations, such as the EU’s General Data Protection Regulation (GDPR), and participating in information-sharing initiatives that mitigate broader systemic risks. Upholding these responsibilities enhances not just corporate reputation but also global cybersecurity resilience (Zeng & Goh, 2017; Nakamura & Takahashi, 2019).

Despite these frameworks, ethical dilemmas remain prevalent for IT security managers. First, there is the challenge of balancing employee privacy with security needs, especially when deploying surveillance tools that can monitor system activity closely but risk infringing on personal privacy rights. Second, transparency from cybersecurity vendors is a persistent concern; managers must critically evaluate whether providers honestly disclose vulnerabilities or merely overstate capabilities, which can lead to overconfidence in security measures. Third, ensuring equitable access to cybersecurity resources, particularly in emerging markets or less developed regions, poses an ethical challenge. Disparities in resources can exacerbate global security vulnerabilities, and organizations have a moral responsibility to promote fairness and inclusivity in cybersecurity practices (Cummings & Riggins, 2019; Johnson & Miller, 2020).

References

• Freeman, R. E. (2010). Strategic Management: A Stakeholder Approach. Cambridge University Press.
• Ginter, P. M. (2018). Business Ethics and Corporate Social Responsibility. Routledge.
• Zeng, D., & Goh, G. (2017). Social contract theory and information security governance. Journal of Business Ethics, 143(3), 583-595.
• Nakamura, Y., & Takahashi, H. (2019). International cybersecurity cooperation and ethics. Cybersecurity Economics, 4(2), 121-138.
• Cummings, M., & Riggins, F. J. (2019). Ethics in cybersecurity management: Balancing privacy and security. Journal of Information Systems, 33(4), 109-122.
• Johnson, L., & Miller, R. (2020). Global disparities in cybersecurity capacity. International Journal of Information Security, 19, 337–349.