Privacy Risk of Personal Information Exposure

Abstract

Customers’ individual private information are collected to gain valuable information. Through business analytics companies gain competitive advantage in making decisions. However, some irresponsible companies sell customer’s data to third party for illegal activities. This caused distrust and lack of confidence among consumers in revealing their private information. Due to customer reluctant in disclosing their information, this may hinder the growth of e-commerce. Therefore, the purpose of this study is to investigate consumer sensitivity towards data privacy. This research adopted a research framework based on ‘Concern for Information Privacy’ (CFIP) dimensions to further conducted the study. This study has tested relationship using five independent variables. A total number 384 data were collected from respondents using questionnaire. Regression was employed to analyse the relationship between identified variables. Result found that collection, unauthorized secondary internal use, unauthorized secondary external use, improper access and errors have a positive influence on consumer sensitivity towards data privacy. Furthermore, the effects of unauthorized secondary internal use on consumer sensitivity towards data privacy is found to be significantly greater.