Examining ransomware payment decision-making among small- and medium-sized enterprises

organizations cyber-dependent crime ransomware quantitative methods

Journal article

Sifra R. Matthijsse (Centre of Expertise Cyber Security at The Hague University of Applied Sciences) , Asier Moneva (Netherlands Institute for the Study of Crime and Law Enforcement (NSCR) & Centre of Expertise Cyber Security at The Hague University of Applied Sciences) , M/ Susanne van ’t Hoff-de Goede (Centre of Expertise Cyber Security at The Hague University of Applied Sciences) , E. Rutger Leukfeldt (Netherlands Institute for the Study of Crime and Law Enforcement (NSCR) & Centre of Expertise Cyber Security at The Hague University of Applied Sciences & Institute of Security and Global Affairs and Institute of Criminal Law and Criminology at Leiden University)
2024-11-14

Abstract

Ransomware is currently one of the most prominent cyberthreats for organizations. Small- and medium-sized enterprises are particularly vulnerable to ransomware victimization and more inclined toward paying the ransom. However, while a few studies have been conducted on victimization of ransomware, little is known about how small- and medium-sized enterprises respond to victimization and what factors contribute to the decision to pay the ransom. This study uses a survey with a vignette experiment conducted among 445 owners and managers of Dutch small- and medium-sized enterprises to gain more insight into the factors that are related to the decision to pay the ransom in the event of ransomware victimization. Findings show that the likelihood that the ransom is paid is low. While the affordability of the ransom demand seems unrelated to the likelihood of paying, being advised by a cybersecurity company to pay the ransom and not having a back-up significantly increases the likelihood of the ransom being paid. The findings provide insight into factors that make ransomware victims vulnerable to extortion. Furthermore, implications for how ransomware attacks can be mitigated are discussed.

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