Skip to main content

Advertisement

Log in

Marketing Dataveillance and Digital Privacy: Using Theories of Justice to Understand Consumers’ Online Privacy Concerns

  • Published:
Journal of Business Ethics Aims and scope Submit manuscript

Abstract

Technology used in online marketing has advanced to a state where collection, enhancement and aggregation of information are instantaneous. This proliferation of customer information focused technology brings with it a host of issues surrounding customer privacy. This article makes two key contributions to the debate concerning digital privacy. First, we use theories of justice to help understand the way consumers conceive of, and react to, privacy concerns. Specifically, it is argued that an important component of consumers’ privacy concerns relates to fairness judgments, which in turn comprise of the two primary components of distributive and procedural justice. Second, we make a number of prescriptions, aimed at both firms and regulators, based on the notion that consumers respond to perceived privacy violations in much the same way they would respond to an unfair exchange.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Subscribe and save

Springer+ Basic
$34.99 /Month
  • Get 10 units per month
  • Download Article/Chapter or eBook
  • 1 Unit = 1 Article or 1 Chapter
  • Cancel anytime
Subscribe now

Buy Now

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

Explore related subjects

Discover the latest articles, news and stories from top researchers in related subjects.

References

  • Acquisti A., Grossklags J. (2005) Privacy and Rationality in Individual Decision Making. IEEE Security and Privacy 3(1):24–30

    Google Scholar 

  • Adams J. S. (1965) Inequity in Social Exchange. In: Berkowitz L. (eds) Advances in Experimental Social Psychology, Vol. 2. Academic Press, New York, pp 267–299

    Google Scholar 

  • America Online and National Cyber Security Alliance: 2004, AOL/NCSA Safety Study, at http://www.staysafeonline.info/news/safety_study_v04.pdf

  • Bagozzi R. (1975) Marketing as Exchange. Journal of Marketing 39(4):32–39

    Article  Google Scholar 

  • Bennett C. J. (2004) Privacy Self-Regulation in a Global Economy: A Race to the Top, the Bottom or Somewhere Else?. In: Webb K. (eds) Voluntary Codes: Private Governance, the Public Interest and Innovation. Carleton University, Ottawa, pp 210–226

    Google Scholar 

  • Bentivoglio J., Cortez N., Kirk S. (2003) Global Privacy Law Update. The Computer and Internet Lawyer 20(6):1–6

    Google Scholar 

  • Bies R. J., Moag J. S. (1986) Interactional Justice: Communication Criteria of Fairness. In: Lewicki R. J., Sheppard B. H., Bazerman M. (eds). Research on Negotiation in Organizations, Vol. 1. JAI Press, Greenwich, CT, pp 43–55

    Google Scholar 

  • Brockner J., Wiesenfeld B. (1996) An Integrative Framework for Explaining Reactions to Decisions: Interactive Effects of Outcomes and Procedures. Psychological Bulletin 120(2):189–208

    Article  Google Scholar 

  • Caudill E. M., Murphy P. E. (2000) Consumer Online Privacy: Legal and Ethical Issues. Journal of Public Policy and Marketing 19(1):7–19

    Article  Google Scholar 

  • Cespedes F. V., Smith J. H. (1993) Database Marketing: New Rules for Policy and Practice. Sloan Management Review 34(4):7–23

    Google Scholar 

  • Chen K., Rea A. I. (2004) Protecting Personal Information Online: A Survey of User Privacy Concerns and Control Techniques. Journal of Computer Information Systems 44(4):85–92

    Google Scholar 

  • Cialdini R., Trost M. (1998) Social Influence: Social Norms, Conformity and Compliance. In: Gilbert D., Fiske S., Lindzey G. (eds) The Handbook of Social Psychology, Vol. 2, 4th edition. Oxford University Press, New York, pp 151–192

    Google Scholar 

  • Clarke R. (1989) Information, Technology, and Dataveillance. Communications of ACM 31(5):498–512

    Article  Google Scholar 

  • Colquitt J., Conlon D., Wesson M., Porter C., Yee Ng K. (2001) Justice at the Millenium: A Meta-Analytic Review of 25 Years of organisational Justice Research. Journal of Applied Psychology 86(3):425–445

    Article  Google Scholar 

  • Cropanzano R., Ambrose M. (2001) Procedural and Distributive Justice Are More Similar than You Think: A Monistic Perspective and a Research Agenda. In: Greenberg J., Cropanzano R. (eds) Advances in organisational Justice. Stanford University Press, Stanford, CA, pp 119 – 151

    Google Scholar 

  • Deutsch M. (1985) Distributive Justice. Yale University Press, New York

    Google Scholar 

  • Falk A., Fehr E., Fischbacher U. (2005) Driving Forces Behind Informal Sanctions. Econometrica 73(6):2017–2030

    Article  Google Scholar 

  • Folger R., Konovsky M. (1989) Effects of Procedural and Distributive Justice on Reactions to Pay Raise Decisions. Academy of Management Journal 32(1):115–130

    Article  Google Scholar 

  • Foxman E., Kilcoyne P. (1993) Information Technology, Marketing Practice, and Consumer Privacy: Ethical Issues. Journal of Public Policy and Marketing 12(1):106–19

    Google Scholar 

  • Greenberg J. (1993) The Social Side of Fairness: Interpersonal and Informational Classes of Organizational Justice. In: Cropanzano R. (eds) Justice in the Workplace: Approaching Fairness in Human Resource Management. Lawrence Erlbaum Associates, Hillsdale, NJ, pp 79–103

    Google Scholar 

  • Hetcher S. (2001) Norm Proselytizers Create a Privacy Entitlement in Cyberspace. Berkeley Technology Law Journal 16:877–935

    Google Scholar 

  • Homans G. C. (1961) Social Behavior: Its Elementary Forms. Routledge and Kegan Paul, London

    Google Scholar 

  • Kahneman D., Tversky A. (1979) Prospect Theory: An Analysis of Decision under Risk. Econometrica 47(2):263–291

    Article  Google Scholar 

  • Kotzer J. A. (2003) The Great Cookie Caper: Internet Privacy and Target Marketing at Home and Abroad. St Thomas Law Review 15:727–756

    Google Scholar 

  • Kulik C., and M. L. Ambrose: 1992, Personal and situational determinants of referent choice. Academy of Management Review 17:212–237

    Article  Google Scholar 

  • Leventhal G. S. (1980) What Should Be Done with Equity Theory? New Approaches to the Study of Fairness in Social Relationships. In: Greenberg M., Willis R. (eds) Social Exchange: Advances in Theory and Research. Plenum, New York, pp 27–55

    Google Scholar 

  • Lind E., Tyler T. (1988) The Social Psychology of Procedural Justice. Plenum, New York

    Google Scholar 

  • Miller D. T. (2001) Disrespect and the Experience of Injustice. Annual Review of Psychology 52:527–553

    Article  Google Scholar 

  • Miller S., Weckert J. (2000) Privacy, the Workplace, and the Internet. Journal of Business Ethics 28(3):255–265

    Article  Google Scholar 

  • Milne G. R., Gordon M. E. (1993) Direct Mail Privacy-Efficiency Trade-offs Within an Implied Social Contract. Journal of Public Policy and Marketing 12(2):206–215

    Google Scholar 

  • Milne G. R., Rohm A. J., Bahl S. (2004) Consumers’ Protection of Online Privacy and Identity. Journal of Consumer Affairs 38(2):217–232

    Article  Google Scholar 

  • Nowak G. J., Phelps J. (1992) Understanding Privacy Concerns: An Assessment of Consumers’ Information Related Knowledge and Beliefs. Journal of Direct Marketing 6(4):28–39

    Article  Google Scholar 

  • Nowak, G. J. and J. Phelps: 1995, ‘Direct Marketing and the Use of Individual-Level Consumer Information: Determining How and When ‘Privacy’ Matters’, Journal of Direct Marketing 9(3), 46–60

    Google Scholar 

  • OECD: 2003, Privacy Online: OECD Guidance on Policy and Practice, at http://www.1.oecd.org/publications/e-book/9303051E.PDF

  • Palmer D. (2005) Pop-Ups, Cookies, and Spam: Toward a Deeper Analysis of the Ethical Significance of Internet Marketing Practices. Journal of Business Ethics 58(1):271–280

    Article  Google Scholar 

  • Petrison L. A., Wang P. (1993) Exploring the Dimensions of Consumer Privacy: An Analysis of Coverage in British and American Media. Journal of Direct Marketing 9(4):19–37

    Article  Google Scholar 

  • Pew Research Center: 2000, Trust and Privacy Online: Why Americans Want to Rewrite the Rules, at http://www.pewinternet.org/reports/toc.asp?Report=19

  • Ranganathan C., Ganapathy S. (2002) Key Dimensions of Business-to-Consumer Websites. Information & Management 39(6):457–465

    Article  Google Scholar 

  • Rogers J. L. (1996) Mail Advertising and Consumer Behaviour. Psychology and Marketing 13(2):211–233

    Article  Google Scholar 

  • Sarathy R., Robertson C. (2003) Strategic and Ethical Considerations in Managing Digital Privacy. Journal of Business Ethics 46(2):111–126

    Article  Google Scholar 

  • Sheehan K., Hoy M. (2000) Dimensions of Privacy Concern among Online Consumers. Journal of Public Policy and Marketing 19(1):62–73

    Article  Google Scholar 

  • Smith H. J. (1994) Managing Privacy: Information Technology and Corporate America. University of North Carolina Press, Chapel Hill, NC

    Google Scholar 

  • Taylor C. R. (2004) Consumer Privacy and the Market for Customer Information. The Rand Journal of Economics 35(4):631–650

    Article  Google Scholar 

  • Thaler R. (1985) Mental Accounting and Consumer Choice. Marketing Science 4(3):199–214

    Article  Google Scholar 

  • Thibaut J. W., Walker L. (1975) Procedural Justice: A Psychological Perspective. Lawrence Erlbaum Associates, Hillsdale, NJ

    Google Scholar 

  • Trurow, J.: 2004, Americans and Online Privacy: The System is Broken, A Report from the Annenberg Public Policy Center of the University of Pennsylvania

  • Tyler T. R., Lind E. A. (1992) A Relational Model of Authority in Groups. In: Zanna M. P. (eds) Advances in Experimental Social Psychology, Volume 25. Academic Press, San Diego, CA, pp 115–191

    Google Scholar 

  • Vermunt R., van Knippenberg D., van Knippenberg B., Blaauw E. (2001) Self-Esteem and Outcome Fairness: Differential Importance of Procedural and Outcome Considerations. Journal of Applied Psychology 86(4):621–628

    Article  Google Scholar 

  • Walster E., Berscheid E., Walster W. (1973) New Directions in Equity Research. Journal of Personality and Social Psychology 25(2):151–176

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Additional information

Laurence Ashworth is an Assistant Professor at the Queen’s School of Business, Queen’s University, Canada and received his PhD from the University of British Columbia. Dr Ashworth is interested in social and affective influences on consumer judgment and decision making.

Clinton Free is an Assistant Professor at the Queen’s School of Business, Queen’s University, Canada and received his D␣Phil from Oxford University where he was a Rhodes Scholar. His research is primarily in the areas of management control, supply chain accounting, customer accounting and the legal environment of accounting and management. Prior to obtaining his PhD, Dr Free worked for a major accounting and law firm in Sydney, Australia.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Ashworth, L., Free, C. Marketing Dataveillance and Digital Privacy: Using Theories of Justice to Understand Consumers’ Online Privacy Concerns. J Bus Ethics 67, 107–123 (2006). https://doi.org/10.1007/s10551-006-9007-7

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10551-006-9007-7

Keywords

Navigation