Recently, due to the development of social media, multimedia, and the Internet of Things(IoT), various types of data have increased. As the existing data analytics tools cannot cover thishuge volume of data, big data analytics becomes one of the emerging technologies for business today.Considering that big data analytics is an up-to-date term, in the present study, we investigated theimpact of implementing big data analytics in the short-term perspective. We used an event studymethodology to investigate the changes in stock price caused by announcements on big data analyticssolution investment. A total of 54 investment announcements of firms publicly traded in NASDAQand NYSE from 2010 to 2015 were collected. Our results empirically demonstrate that announcementof firms' investment on big data solution leads to positive stock market reactions. In addition, wealso found that investments on small vendors' solution with industry-oriented functions tend toresult in higher abnormal returns than those on big vendors' solution with general functions. Finally,our results also suggest that stock market investors highly evaluate big data analytics investments ofbig firms as compared to those of small firms.
- Big data
- Data analytics
- Event study methodology
- Measuring stock market value of investment