Knowledge that Transforms

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An Extended Privacy Calculus Model for E-Commerce Transactions

Information Systems Research 2006 17(1), 61-80
While privacy is a highly cherished value, few would argue with the notion that absolute privacy is unattainable. Individuals make choices in which they surrender a certain degree of privacy in exchange for outcomes that are perceived to be worth the risk of information disclosure. This research attempts to better understand the delicate balance between privacy risk beliefs and confidence and enticement beliefs that influence the intention to provide personal information necessary to conduct transactions on the Internet. A theoretical model that incorporated contrary factors representing elements of a privacy calculus was tested using data gathered from 369 respondents. Structural equations modeling (SEM) using LISREL validated the instrument and the proposed model. The results suggest that although Internet privacy concerns inhibit e-commerce transactions, the cumulative influence of Internet trust and personal Internet interest are important factors that can outweigh privacy risk perceptions in the decision to disclose personal information when an individual uses the Internet. These findings provide empirical support for an extended privacy calculus model.

When the Wait Isn’t So Bad: The Interacting Effects of Website Delay, Familiarity, and Breadth

Information Systems Research 2006 17(1), 20-37
Although its popularity is widespread, the Web is well known for one particular drawback: its frequent delay when moving from one page to another. This experimental study examined whether delay and two other website design variables (site breadth and content familiarity) have interaction effects on user performance, attitudes, and behavioral intentions. The three experimental factors (delay, familiarity, and breadth) collectively impact the cognitive costs and penalties that users incur when making choices in their search for target information. An experiment was conducted with 160 undergraduate business majors in a completely counterbalanced, fully factorial design that exposed them to two websites and asked them to browse the sites for nine pieces of information. Results showed that all three factors have strong direct impacts on performance and user attitudes, in turn affecting behavioral intentions to return to the site, as might be expected. A significant three-way interaction was found between all three factors indicating that these factors not only individually impact a user’s experiences with a website, but also act in combination to either increase or decrease the costs a user incurs. Two separate analyses support an assertion that attitudes mediate the relationship of the three factors on behavioral intentions. The implications of these results for both researchers and practitioners are discussed. Additional research is needed to discover other factors that mitigate or accentuate the effects of delay, other effects of delay, and under what amounts of delay these effects occur.

Reconceptualizing System Usage: An Approach and Empirical Test

Information Systems Research 2006 17(3), 228-246
Although DeLone, McLean, and others insist that system usage is a key variable in information systems research, the system usage construct has received little theoretical scrutiny, boasts no widely accepted definition, and has been operationalized by a diverse set of unsystematized measures. In this article, we present a systematic approach for reconceptualizing the system usage construct in particular nomological contexts. Comprising two stages, definition and selection, the approach enables researchers to develop clear and valid measures of system usage for a given theoretical and substantive context. The definition stage requires that researchers define system usage and explicate its underlying assumptions. In the selection stage, we suggest that system usage be conceptualized in terms of its structure and function. The structure of system usage is tripartite, comprising a user, system, and task, and researchers need to justify which elements of usage are most relevant for their study. In terms of function, researchers should choose measures for each element (i.e., user, system, and/or task) that tie closely to the other constructs in the researcher's nomological network. To provide evidence of the viability of the approach, we undertook an empirical investigation of the relationship between system usage and short-run task performance in cognitively engaging tasks. The results support the benefits of the approach and show how an inappropriate choice of usage measures can lead researchers to draw opposite conclusions in an empirical study. Together, the approach and the results of the empirical investigation suggest new directions for research into the nature of system usage, its antecedents, and its consequences.

Perceived Information Quality in Data Exchanges: Effects on Risk, Trust, and Intention to Use

Information Systems Research 2006 17(4), 332-351
This study examines the role of information quality in the success of initial phase interorganizational (I-O) data exchanges. We propose perceived information quality (PIQ) as a factor of perceived risk and trusting beliefs, which will directly affect intention to use the exchange. The study also proposes that two important system design factors—control transparency and outcome feedback—will incrementally influence PIQ. An empirical test of the model demonstrated that PIQ predicts trusting beliefs and perceived risk, which mediate the effects of PIQ on intention to use the exchange. Thus, PIQ constitutes an important indirect factor influencing exchange adoption. Furthermore, control transparency had a significant influence on PIQ, while outcome feedback had no significant incremental effect over that of control transparency. The study contributes to the literature by demonstrating the important role of PIQ in I-O systems adoption and by showing that information cues available to a user during an initial exchange session can help build trusting beliefs and mitigate perceived exchange risk. For managers of I-O exchanges, the study implies that building into the system appropriate control transparency mechanisms can increase the likelihood of exchange success.