The social media and e-commerce information trade: Is privacy protection a losing game?

Abstract: Background: As technology progresses and more information is gathered to meet the increasing demands of consumers, - businesses on social media and e-commerce sites are working on becoming increasingly practical and effective in delivering their services (e-services). However, users are becoming increasingly concerned about online privacy and the possibilities of organizations’ exploiting personal, private information, - the benefits of partaking in these e-services are being increasingly questioned. This thesis validates a model that analyses organizational privacy assurances and policies, - on users’ privacy concerns, risk perceptions, trusting beliefs, and non-self-disclosure behaviour. Purpose: The purpose of this study is to explain how organizational privacy assurances can be related to users’ privacy concerns, risk perceptions, trusting beliefs, and self-disclosure behaviour. Methodology: A quantitative research approach was used with an online self-completion questionnaire as a data collection method distributed via Facebook. In total, there were 100 valid responses. Findings and conclusions: 14 hypotheses were tested and part of the research model. Three out of the 14 hypotheses were rejected under the null hypothesis. The findings suggest that social media and e-commerce users are aware of the potential risks of agreeing to disclose personal information. The result indicates that trusting beliefs are negatively affected in situations where risk perceptions are heightened. It is also in situations of perceptions of heightened risks, and lower levels of trust, - where users exhibit non-self-disclosure behaviour. The findings serve to develop a practical- and theoretical understanding of organisational privacy assurances and users’ privacy concerns, trusting beliefs, and self-disclosure behaviour. The findings suggest that organisations can better generate positive perceptions by developing privacy policies and self-self-regulations in a way that assures users of their devotion to user privacy and their high commitments to users’ safety.