The Effects of Self-Construal and Perceived Control on Privacy Concerns

Abstract

Recent advances in mobile computing technology have led to a proliferation of location-based services (LBS). Although LBS offer users the flexibility of accessing networks and services while on the move, potential privacy violations have emerged as a contentious issue because information related to the consumer’s identity, movements, behavior, and habits are available to the LBS provider. Adopting the psychological control and self-construal perspectives, this paper focuses on three leading mechanisms that can alleviate privacy concerns in the LBS context. We draw from the control agency and self-construal theories to propose a framework linking three mechanisms (privacy-enhancing technology, industry self-regulation, and government legislation) to privacy concerns through the mediating effects of perceived control the moderating role of self-construal. We test the predictions of the framework using data obtained from 141 mobile phone users through an experiment. Results show that all the three mechanisms are effective in increasing perceived control, which in turn mitigates privacy concerns. We also find that people who value independent-self prefer personal control through technology-based mechanisms; whereas people who value interdependent-self prefer proxy control through industry self-regulation and through government legislation. In addition to enhancing our theoretical understanding of information privacy in the LBS context, these findings have important implications for LBS providers and consumers, as well as for regulatory bodies and LBS technology developers.

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