What can be a consequence of failing to secure proprietary information?

Failing to secure proprietary information can lead to a loss of market share because when sensitive data, such as trade secrets or business strategies, is exposed to competitors, they can gain an unfair advantage. This can result in them replicating products or services, undermining your company's unique offerings. Consequently, customers may choose the competing products they perceive to be similar or improved based on the stolen information. The loss of proprietary information diminishes a company's competitive edge and can directly impact revenue and market positioning.

While increased market competition, higher operational costs, and reduced employee productivity could be indirect repercussions of failing to secure proprietary information, the immediate and most significant consequence is the actual loss of market share itself. This highlights the critical importance of safeguarding sensitive data to maintain a firm's competitive status in the marketplace.