Privacy please: power distance and people's responses to data breaches across countries
Information security and data breaches are perhaps the biggest challenges that global businesses face in the digital economy. Although data breaches can cause significant harm to users, businesses, and society, there is significant individual and national variation in people's responses to data...
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sg-ntu-dr.10356-1720622023-11-21T02:15:51Z Privacy please: power distance and people's responses to data breaches across countries Madan, Shilpa Savani, Krishna Katsikeas, Constantine S. Nanyang Business School Business::Information technology Privacy Power Distance Information security and data breaches are perhaps the biggest challenges that global businesses face in the digital economy. Although data breaches can cause significant harm to users, businesses, and society, there is significant individual and national variation in people's responses to data breaches across markets. This research investigates power distance as an antecedent of people's divergent reactions to data breaches. Eight studies using archival, correlational, and experimental methods find that high power distance makes users more willing to continue patronizing a business after a data breach (Studies 1-3). This is because they are more likely to believe that the business, not they themselves, owns the compromised data (Studies 4-5A) and, hence, do not reduce their transactions with the business. Making people believe that they (not the business) own the shared data attenuates this effect (Study 5B). Study 6 provides additional evidence for the underlying mechanism. Finally, Study 7 shows that high uncertainty avoidance acts as a moderator that mitigates the effect of power distance on willingness to continue patronizing a business after a data breach. Theoretical contributions to the international business literature and practitioner and policy insights are discussed. Nanyang Technological University This research was supported by a Security, Privacy, and Trust Pillar Grant awarded by Pamplin College of Business to Shilpa Madan and a Nanyang Assistant Professorship grant awarded by Nanyang Technological University to Krishna Savani. 2023-11-21T02:15:51Z 2023-11-21T02:15:51Z 2023 Journal Article Madan, S., Savani, K. & Katsikeas, C. S. (2023). Privacy please: power distance and people's responses to data breaches across countries. Journal of International Business Studies, 54(4), 731-754. https://dx.doi.org/10.1057/s41267-022-00519-5 0047-2506 https://hdl.handle.net/10356/172062 10.1057/s41267-022-00519-5 35607320 2-s2.0-85161512832 4 54 731 754 en Journal of International Business Studies © 2022 Academy of International Business, corrected publication 2022. All rights reserved. |
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Business::Information technology Privacy Power Distance Madan, Shilpa Savani, Krishna Katsikeas, Constantine S. Privacy please: power distance and people's responses to data breaches across countries |
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Information security and data breaches are perhaps the biggest challenges that global businesses face in the digital economy. Although data breaches can cause significant harm to users, businesses, and society, there is significant individual and national variation in people's responses to data breaches across markets. This research investigates power distance as an antecedent of people's divergent reactions to data breaches. Eight studies using archival, correlational, and experimental methods find that high power distance makes users more willing to continue patronizing a business after a data breach (Studies 1-3). This is because they are more likely to believe that the business, not they themselves, owns the compromised data (Studies 4-5A) and, hence, do not reduce their transactions with the business. Making people believe that they (not the business) own the shared data attenuates this effect (Study 5B). Study 6 provides additional evidence for the underlying mechanism. Finally, Study 7 shows that high uncertainty avoidance acts as a moderator that mitigates the effect of power distance on willingness to continue patronizing a business after a data breach. Theoretical contributions to the international business literature and practitioner and policy insights are discussed. |
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Nanyang Business School |
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Nanyang Business School Madan, Shilpa Savani, Krishna Katsikeas, Constantine S. |
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Madan, Shilpa Savani, Krishna Katsikeas, Constantine S. |
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Madan, Shilpa |
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Privacy please: power distance and people's responses to data breaches across countries |
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Privacy please: power distance and people's responses to data breaches across countries |
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Privacy please: power distance and people's responses to data breaches across countries |
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Privacy please: power distance and people's responses to data breaches across countries |
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Privacy please: power distance and people's responses to data breaches across countries |
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privacy please: power distance and people's responses to data breaches across countries |
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2023 |
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https://hdl.handle.net/10356/172062 |
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