Title: Unveiling consumers' privacy paradox behaviour in an economic exchange

Authors: Luvai F. Motiwalla; Xiao-Bai Li

Addresses: Department of Operations and Information Systems, Manning School of Business, University of Massachusetts Lowell, Lowell, MA 01854, USA ' Department of Operations and Information Systems, Manning School of Business, University of Massachusetts Lowell, Lowell, MA 01854, USA

Abstract: Privacy paradox is of great interest to IS researchers and firms gathering personal information. It has been studied from social, behavioural, and economic perspectives independently. However, prior research has not examined the degrees of influence these perspectives contribute to the privacy paradox problem. We combine both economic and behavioural perspectives in our study of the privacy paradox with a price valuation of personal information through an economic experiment combined with a behavioural study on privacy paradox. Our goal is to reveal more insights on the privacy paradox through economic valuation on personal information. Results indicate that general privacy concerns or individual disclosure concerns do not have a significant influence on the price valuation of personal information. Instead, prior disclosure behaviour in specific scenario, like with healthcare providers or social networks, is a better indicator of consumer price valuations.

Keywords: privacy paradox; privacy concerns; disclosure behaviours; privacy calculus; personal information; privacy valuation; economic valuation; prior disclosure; consumer price valuation; privacy protection; privacy protection.

DOI: 10.1504/IJBIS.2016.079523

International Journal of Business Information Systems, 2016 Vol.23 No.3, pp.307 - 329

Available online: 15 Sep 2016 *

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