Certified in Risk and Information Systems Control (CRISC) — Question 502

Legal and regulatory risk associated with business conducted over the Internet is driven by:

Answer options

• A. the laws and regulations of each individual country.
• B. the jurisdiction in which an organization has its principal headquarters.
• C. international law and a uniform set of regulations.
• D. international standard-setting bodies.

Correct answer: A

Explanation

The correct answer is A because legal and regulatory risks are determined by the specific laws of each country where the business operates, which can vary significantly. Options B, C, and D do not encompass the comprehensive nature of local laws, as they focus on jurisdiction or broader regulations that may not apply uniformly across different countries.