NO WEAL WITHOUT WOE: IMPLEMENTATION OF PERSONAL DATA PROTECTION SYSTEMS AND CORPORATE VALUE

ABSTRACT The commercial exploitation of personal information has raised concerns regarding privacy, illegal data use, and security, among others. Therefore, protection systems (PDPS) play a significant role, corporations are the primary enforcers these systems’ regulation. However, PDPS require investment from companies, there is no consensus economic outcomes establishing systems. This study investigates whether establishment affects short-term financial performance long-term corporate value. After applying propensity score matching method, dataset comprising 912 firm-year observations e-commerce companies listed on Shanghai Shenzhen Stock Exchanges 2008 to 2020 was selected. results show that implementation can improve company’s by a) exploring markets strengthening internal control b) increase value social responsibility. offers insights for proactively implement strengthen their management data, thereby boosting overall In addition, this help governments develop legislation national security enhance international cooperation, especially emerging markets.