The Effect of Online Privacy Information on Purchasing Behaviour

By

TABLE OF CONTENTS

CHAPTER 1: INTRODUCTION1

1.1 Background of the Study1

1.2 Rationale of the Study1

1.3 Aims and objectives of the study2

1.4 Research question2

CHAPTER 2: REVIEW OF LITERATURE2

2.1 Online purchasing3

2.2 Online Privacy information and purchasing4

2.3 Online privacy risk and protection6

CHAPTER 3: RESARCH METHODOLOGY8

3.1 Data Collection8

3.1.1 Interviews8

3.1.2 Surveys9

3.1.3 Sample9

3.2 Data Analysis9

3.3 Research Ethics10

3.4 Timeline of Research10

REFERENCES12

CHAPTER 1: INTRODUCTION

1.1 Background of the Study

Internet is considered as a medium which has help in facilitating the information sharing in the research and academic communities to the problematic. In 1995, internet was considered as the new concept for academic community and government. Furthermore, in 1996, internets evolved as the significant medium for marketing and advertising to online virtual communities from push or pull content. In traditional business, internet provider's goals varied according to the business model of each company (Culnan, 2000, 20). At that time some companies were interested in making money and others were interested in creating share holders value as the initial public offerings were sold to the companies. There was a lapse evidenced in late 2000 and the companies whose business models were built for making money failed (Acquisti, Friedman, Telang, 2006). It was evidenced that value proposition which is successful is driven by the needs of customers and web should not be isolated channel used for transaction only. Hence, it was realized that the marketing channels. Therefore it was necessary that online programs should compliment offline initiatives and should be designed for increasing demand of customers and increasing confidence and customer loyalty. The study will be based on determining the effect of online privacy on purchasing behavior.

1.2 Rationale of the Study

The study provides verification about the role of the incomplete information on decision making which is related to privacy and provides new insights in the consumer's justification of providing personal data. Survey research indicates that online consumers consider it important to know about the use of their personal information. Many times it is observed that customers have little control over the practices used for collecting information. The consumers only have the control to select the business with which they share their information. The results of the study would indicate that the use of privacy information in a precise way reduces the gap between the consumer's knowledge and what will happen to the data provided by consumers and the calculation of benefits and risks for providing personal information and addressing the problem which bounds them in doing it.

1.3 Aims and objectives of the study

The aim of the study is to examine if prominently displayed privacy information results in consumers to include privacy consideration in their decisions made for online purchasing. The objectives of the study are:

To determine the effect of online privacy information on purchasing behaviour

To determine if security for credit card and personal information motivates online consumers to make more of their purchases online

1.4 Research question

The study will be based on the following research questions:

What are the decisions on the basis of which consumers incorporate privacy ...