The Impact of PCI Compliance on Business: A Comprehensive Report

This report focuses on PCI (Payment Card Industry) compliance, emphasizing its importance for businesses that accept credit card payments. It highlights the necessity of securing cardholder data and the use of best practices and technologies to achieve this. The report discusses various consequences of non-compliance, including audits, legal actions, and revenue loss. Audits are independent examinations of financial status, often monitored by the PCI Security Standards Council and government agencies like the FTC. Non-compliance can result in legal suits, high costs, and damage to brand reputation, leading to significant revenue losses, as exemplified by cases like the Target data breach. The report underscores the critical need for businesses to adhere to PCI standards to mitigate financial and reputational risks.

Running head: PCI Compliance
PCI COMPLIANCE
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1PCI COMPLIANCE
PCI Compliance is noted as Payment Card Industry compliance which is applied in
various companies of various size which accepts credit cards for the purpose of payment. If
all of these companies accept the mode of card payment they will also store the process of the
payment and the transmit of the data of the cardholder, it is essential for the company to keep
the security of the data. In this case the companies uses the best practice for the safety of data
[4]. Thus for the practices the companies uses various type of technologies which together is
known as the PCI Compliance.
Audit is one of a type of examination which is independent from any type of books,
records or any kind of document. This is done to know the financial status of the
organisation. In an audit it is examined the way an organisation have invested all their
capitals. “In most cases the PCI Security Standards Council and the companies of the credit
card who handles the relationship among the business handlers, all the organisations that are
large also gets monitored by FTC. When the organisation fails to follow the standards of the
PCI it gets to the result of the audit of FTC. This is the news which is never good. As because
none of the organisation wants to get involved with the government without any reason” [1].
There are various audit that happens in the organisations are regarding the information
technology. In this case the audit are mainly focused on information systems of the
organisation. It checks the data integrity and the safeguarding of the assets.
Legal action is considered as the process in which the law of the nation take legal
actions on any organisation to on anyone due to some unlawful activity. Here the
organisation gets involved with the system of court. “The suits of law are considered as a
place which is common for the organisations which encountered the noncompliance of PCI.
The victims of hack is common for file suit. The costs for the legal actions are very high. Due
to the loss of the data it goes for high costs to perform legal actions. From the time of the TJ

2PCI COMPLIANCE
MAXX incident the breach of data resulted to more complication which also have very high
cost as well” [2].
Revenue loss are considered as the loss which can also be released by keeping on going of
the business activities for a particular company. This is the thing which occurs due to sale in
case of trade. “In case of the percussion which is strong for the reputation of the brand which
can also decrease resulting the revenue and caused the loss in case of the clients which
resulted a breach in the security. In the year of 2013 a retail giant named target was fined
with the amount of $18.5 million in case of the infringement which also cause an effect on
the customers which are even more than 41. Later it leaded to $440 million of loss in revenue
in the first quarter only” [3].

3PCI COMPLIANCE
Reference:
[1] A. Miteva, "PCI Non-Compliance: 7 negative consequences for
businesses", Mymoid.com, 2019. [Online]. Available: https://www.mymoid.com/pci-
non-compliance-consequences/. [Accessed: 11- Sep- 2019].
[2] J. SungardAS, "SungardAS BrandVoice: 7 Critical Consequences Of Failing PCI
Compliance", Forbes.com, 2019. [Online]. Available:
https://www.forbes.com/sites/sungardas/2014/07/01/7-critical-consequences-of-
failing-pci-compliance/#f24043c14b94. [Accessed: 11- Sep- 2019].
[3] K. Graminga, "Why PCI Compliance is Important for Retailers", Total Retail, 2019.
[Online]. Available: https://www.mytotalretail.com/article/why-pci-compliance-is-
important-for-retailers/. [Accessed: 11- Sep- 2019].
[4] L. Papagalos, "PCI Compliance: The Dangers of Noncompliance – The SiteLock
Blog", Sitelock.com, 2019. [Online]. Available: https://www.sitelock.com/blog/pci-
noncompliance-dangers/. [Accessed: 11- Sep- 2019].