Recent advances in wireless computing and communication have led to the proliferation of location-based services (LBS). While LBS offer users the flexibility of accessing network services on the move, potential privacy violations have emerged as a contentious issue because details of user identities, movements and behaviors are available to LBS providers. Drawing on the economic exchange and social justice theories, this research addresses privacy issues by examining key mechanisms that can alleviate users' privacy concerns. A theoretical framework is developed to link three privacy assurance mechanisms (technology control, industry self-regulation, and government legislation) to the individual privacy decision making process. In addition, as the individual privacy decision making is usually dynamic, context-specific and culture-dependent, two-stage studies are performed to test the research model in three different social contexts and in two countries with different cultures (Singapore and United States).
This research is novel to the extent that existing privacy research has not examined the complex set of inter-related issues in the LBS context. It contributes to a better understanding of the dynamic and dialectic nature of information privacy through a combination of theoretical and empirical research efforts. The findings will have a broader impact in addressing the controversy surrounding the role of technology, industry self-regulation and legislation in bearing the responsibility of assuring individual privacy. Moreover, the interplay between social and technological issues associated with the privacy assurance will be the subject of a number of educational initiatives for Penn State's new major in Security and Risk Analysis.