IDEAS home Printed from https://ideas.repec.org/a/spr/elmark/v28y2018i4d10.1007_s12525-018-0303-8.html
   My bibliography  Save this article

The disclosure of private data: measuring the privacy paradox in digital services

Author

Listed:
  • Henner Gimpel

    (FIM Research Center
    Fraunhofer FIT - Project Group Business and Information Systems Engineering)

  • Dominikus Kleindienst

    (FIM Research Center)

  • Daniela Waldmann

    (FIM Research Center
    Fraunhofer FIT - Project Group Business and Information Systems Engineering)

Abstract

Privacy is a current topic in the context of digital services because such services demand mass volumes of consumer data. Although most consumers are aware of their personal privacy, they frequently do not behave rationally in terms of the risk-benefit trade-off. This phenomenon is known as the privacy paradox. It is a common limitation in research papers examining consumers’ privacy intentions. Using a design science approach, we develop a metric that determines the extent of consumers’ privacy paradox in digital services based on the theoretical construct of the privacy calculus. We demonstrate a practical application of the metric for mobile apps. With that, we contribute to validating respective research findings. Moreover, among others, consumers and companies can be prevented from unwanted consequences regarding data privacy issues and service market places can provide privacy-customized suggestions.

Suggested Citation

  • Henner Gimpel & Dominikus Kleindienst & Daniela Waldmann, 2018. "The disclosure of private data: measuring the privacy paradox in digital services," Electronic Markets, Springer;IIM University of St. Gallen, vol. 28(4), pages 475-490, November.
    • Handle: RePEc:spr:elmark:v:28:y:2018:i:4:d:10.1007_s12525-018-0303-8
    DOI: 10.1007/s12525-018-0303-8
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s12525-018-0303-8
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s12525-018-0303-8?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Tom Buchanan & Carina Paine & Adam N. Joinson & Ulf‐Dietrich Reips, 2007. "Development of measures of online privacy concern and protection for use on the Internet," Journal of the American Society for Information Science and Technology, Association for Information Science & Technology, vol. 58(2), pages 157-165, January.
    2. Tao Zhou, 2013. "Examining continuous usage of location-based services from the perspective of perceived justice," Information Systems Frontiers, Springer, vol. 15(1), pages 141-150, March.
    3. Heimbach, Irina & Gottschlich, Jörg & Hinz, Oliver, 2015. "The Value of User's Facebook Profile Data for Product Recommendation Generation," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 77135, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    4. Jonathan W. Palmer, 2002. "Web Site Usability, Design, and Performance Metrics," Information Systems Research, INFORMS, vol. 13(2), pages 151-167, June.
    5. Hauser, John R. & Katz, Gerald M. & International Center for Research on the Management of Technology., 1998. "Metrics : you are what you measure!," Working papers 172-98, Massachusetts Institute of Technology (MIT), Sloan School of Management.
    6. Igor Linkov & Paul Welle & Drew Loney & Alex Tkachuk & Laure Canis & J. B. Kim & Todd Bridges, 2011. "Use of Multicriteria Decision Analysis to Support Weight of Evidence Evaluation," Risk Analysis, John Wiley & Sons, vol. 31(8), pages 1211-1225, August.
    7. Jinyoung Min & Byoungsoo Kim, 2015. "How are people enticed to disclose personal information despite privacy concerns in social network sites? The calculus between benefit and cost," Journal of the Association for Information Science & Technology, Association for Information Science & Technology, vol. 66(4), pages 839-857, April.
    8. Mary J. Culnan & Pamela K. Armstrong, 1999. "Information Privacy Concerns, Procedural Fairness, and Impersonal Trust: An Empirical Investigation," Organization Science, INFORMS, vol. 10(1), pages 104-115, February.
    9. M. Lynne Markus & Kevin Mentzer, 2014. "Foresight for a responsible future with ICT," Information Systems Frontiers, Springer, vol. 16(3), pages 353-368, July.
    10. Tamara Dinev & Paul Hart, 2006. "An Extended Privacy Calculus Model for E-Commerce Transactions," Information Systems Research, INFORMS, vol. 17(1), pages 61-80, March.
    11. Hauser, John & Katz, Gerald, 1998. "Metrics: you are what you measure!," European Management Journal, Elsevier, vol. 16(5), pages 517-528, October.
    12. Naresh K. Malhotra & Sung S. Kim & James Agarwal, 2004. "Internet Users' Information Privacy Concerns (IUIPC): The Construct, the Scale, and a Causal Model," Information Systems Research, INFORMS, vol. 15(4), pages 336-355, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Fred Niederman & Elizabeth White Baker, 2023. "Ethics and AI Issues: Old Container with New Wine?," Information Systems Frontiers, Springer, vol. 25(1), pages 9-28, February.
    2. Annette Wenninger & Daniel Rau & Maximilian Röglinger, 2022. "Improving customer satisfaction in proactive service design," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(3), pages 1399-1418, September.
    3. Rainer Alt, 2018. "Electronic Markets on digitalization," Electronic Markets, Springer;IIM University of St. Gallen, vol. 28(4), pages 397-402, November.
    4. Hans Brits & Nicole Jonker, 2023. "The Use of Financial Apps: Privacy Paradox or Privacy Calculus?," Working Papers 794, DNB.
    5. Alzaidi, Maram Saeed & Agag, Gomaa, 2022. "The role of trust and privacy concerns in using social media for e-retail services: The moderating role of COVID-19," Journal of Retailing and Consumer Services, Elsevier, vol. 68(C).
    6. Valerie Graf-Drasch & Maximilian Röglinger & Annette Wenninger & Sabiölla Hosseini, 2022. "A Contextualized Acceptance Model for Proactive Smart Services," Schmalenbach Journal of Business Research, Springer, vol. 74(3), pages 345-387, September.
    7. Sarah Geschonke & Thomas Wein, 2020. "Privacy Paradox – Economic Uncertainty Theory and Legal Consequences," Working Paper Series in Economics 393, University of Lüneburg, Institute of Economics.
    8. Renata Benigna Gonçalves & Júlio César Bastos Figueiredo, 2022. "Effects of perceived risks and benefits in the formation of the consumption privacy paradox: a study of the use of wearables in people practicing physical activities," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(3), pages 1485-1499, September.
    9. Rainer Alt & Andreas Göldi & Hubert Österle & Edy Portmann & Sarah Spiekermann, 2021. "Life Engineering," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 63(2), pages 191-205, April.
    10. Ernestine Dickhaut & Mahei Manhai Li & Andreas Janson & Jan Marco Leimeister, 2022. "The role of design patterns in the development and legal assessment of lawful technologies," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(4), pages 2311-2331, December.
    11. Brusch, Ines & Rappel, Nina, 2020. "Exploring the acceptance of instant shopping – An empirical analysis of the determinants of user intention," Journal of Retailing and Consumer Services, Elsevier, vol. 54(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Grace Fox & Lisa van der Werff & Pierangelo Rosati & Patricia Takako Endo & Theo Lynn, 2022. "Examining the determinants of acceptance and use of mobile contact tracing applications in Brazil: An extended privacy calculus perspective," Journal of the Association for Information Science & Technology, Association for Information Science & Technology, vol. 73(7), pages 944-967, July.
    2. Helia Marreiros & Mirco Tonin & Michael Vlassopoulos & M.C. Schraefel, 2016. "“Now that you mention it”: A Survey Experiment on Information, Salience and Online Privacy," BEMPS - Bozen Economics & Management Paper Series BEMPS34, Faculty of Economics and Management at the Free University of Bozen.
    3. Omrani, Nessrine & Soulié, Nicolas, 2017. "Culture, Privacy Conception and Privacy Concern: Evidence from Europe before PRISM," 14th ITS Asia-Pacific Regional Conference, Kyoto 2017: Mapping ICT into Transformation for the Next Information Society 168531, International Telecommunications Society (ITS).
    4. Nam, Taewoo, 2018. "Untangling the relationship between surveillance concerns and acceptability," International Journal of Information Management, Elsevier, vol. 38(1), pages 262-269.
    5. Heng Xu & Hock-Hai Teo & Bernard C. Y. Tan & Ritu Agarwal, 2012. "Research Note ---Effects of Individual Self-Protection, Industry Self-Regulation, and Government Regulation on Privacy Concerns: A Study of Location-Based Services," Information Systems Research, INFORMS, vol. 23(4), pages 1342-1363, December.
    6. Marreiros, Helia & Tonin, Mirco & Vlassopoulos, Michael & Schraefel, M.C., 2017. "“Now that you mention it”: A survey experiment on information, inattention and online privacy," Journal of Economic Behavior & Organization, Elsevier, vol. 140(C), pages 1-17.
    7. Corey Angst, 2009. "Protect My Privacy or Support the Common-Good? Ethical Questions About Electronic Health Information Exchanges," Journal of Business Ethics, Springer, vol. 90(2), pages 169-178, November.
    8. Yi Sun & Shihui Li & Lingling Yu, 2022. "The dark sides of AI personal assistant: effects of service failure on user continuance intention," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(1), pages 17-39, March.
    9. Kim, Yeolib & Kim, Seung Hyun & Peterson, Robert A. & Choi, Jeonghye, 2023. "Privacy concern and its consequences: A meta-analysis," Technological Forecasting and Social Change, Elsevier, vol. 196(C).
    10. Dah-Kwei Liou & Wen-Hai Chih & Li-Chun Hsu & Chia-Yi Huang, 2016. "Investigating information sharing behavior: the mediating roles of the desire to share information in virtual communities," Information Systems and e-Business Management, Springer, vol. 14(2), pages 187-216, May.
    11. Sumeet Gupta & Haejung Yun & Heng Xu & Hee-Woong Kim, 2017. "An exploratory study on mobile banking adoption in Indian metropolitan and urban areas: a scenario-based experiment," Information Technology for Development, Taylor & Francis Journals, vol. 23(1), pages 127-152, January.
    12. Tawfiq Alashoor & Mark Keil & H. Jeff Smith & Allen R. McConnell, 2023. "Too Tired and in Too Good of a Mood to Worry About Privacy: Explaining the Privacy Paradox Through the Lens of Effort Level in Information Processing," Information Systems Research, INFORMS, vol. 34(4), pages 1415-1436, December.
    13. Liu, Yu-li & Yan, Wenjia & Hu, Bo, 2021. "Resistance to facial recognition payment in China: The influence of privacy-related factors," Telecommunications Policy, Elsevier, vol. 45(5).
    14. Wang, Tien & Duong, Trong Danh & Chen, Charlie C., 2016. "Intention to disclose personal information via mobile applications: A privacy calculus perspective," International Journal of Information Management, Elsevier, vol. 36(4), pages 531-542.
    15. Huseyin Cavusoglu & Tuan Q. Phan & Hasan Cavusoglu & Edoardo M. Airoldi, 2016. "Assessing the Impact of Granular Privacy Controls on Content Sharing and Disclosure on Facebook," Information Systems Research, INFORMS, vol. 27(4), pages 848-879, December.
    16. Weiyin Hong & Frank K. Y. Chan & James Y. L. Thong, 2021. "Drivers and Inhibitors of Internet Privacy Concern: A Multidimensional Development Theory Perspective," Journal of Business Ethics, Springer, vol. 168(3), pages 539-564, January.
    17. Hung-Pin Shih & Wuqiang Liu, 2023. "Beyond the trade-offs on Facebook: the underlying mechanisms of privacy choices," Information Systems and e-Business Management, Springer, vol. 21(2), pages 353-387, June.
    18. Xu, Zhuo, 2019. "An empirical study of patients' privacy concerns for health informatics as a service," Technological Forecasting and Social Change, Elsevier, vol. 143(C), pages 297-306.
    19. Morlok, Tina & Matt, Christian & Hess, Thomas, 2017. "Privatheitsforschung in den Wirtschaftswissenschaften: Entwicklung, Stand und Perspektiven," Working Papers 1/2017, University of Munich, Munich School of Management, Institute for Information Systems and New Media.
    20. Tabitha L. James & Quinton Nottingham & Stephane E. Collignon & Merrill Warkentin & Jennifer L. Ziegelmayer, 2016. "The interpersonal privacy identity (IPI): development of a privacy as control model," Information Technology and Management, Springer, vol. 17(4), pages 341-360, December.

    More about this item

    Keywords

    Privacy paradox; Privacy calculus; Metric; Digital services;
    All these keywords.

    JEL classification:

    • M - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:elmark:v:28:y:2018:i:4:d:10.1007_s12525-018-0303-8. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.