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2. Privacy Management in Service Systems
- Author
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Ruslan Momot, Ming Hu, Jianfu Wang, Shanghai Key Laboratory of Trustworthy Computing, East China Normal University [Shangaï] (ECNU), Ecole des Hautes Etudes Commerciales (HEC Paris), and HEC Paris Research Paper Series
- Subjects
Information management ,History ,Polymers and Plastics ,JEL: M - Business Administration and Business Economics • Marketing • Accounting • Personnel Economics/M.M2 - Business Economics/M.M2.M20 - General ,Strategy and Management ,Internet privacy ,Control (management) ,privacy management ,JEL: D - Microeconomics/D.D6 - Welfare Economics/D.D6.D62 - Externalities ,Commit ,Management Science and Operations Research ,Industrial and Manufacturing Engineering ,queuing economics ,JEL: D - Microeconomics/D.D7 - Analysis of Collective Decision-Making/D.D7.D70 - General ,JEL: C - Mathematical and Quantitative Methods/C.C6 - Mathematical Methods • Programming Models • Mathematical and Simulation Modeling/C.C6.C60 - General ,Business and International Management ,JEL: C - Mathematical and Quantitative Methods/C.C0 - General/C.C0.C02 - Mathematical Methods ,JEL: C - Mathematical and Quantitative Methods/C.C7 - Game Theory and Bargaining Theory/C.C7.C70 - General ,Service (business) ,JEL: D - Microeconomics/D.D8 - Information, Knowledge, and Uncertainty/D.D8.D80 - General ,Service system ,JEL: L - Industrial Organization/L.L9 - Industry Studies: Transportation and Utilities/L.L9.L90 - General ,business.industry ,JEL: L - Industrial Organization/L.L5 - Regulation and Industrial Policy/L.L5.L51 - Economics of Regulation ,JEL: M - Business Administration and Business Economics • Marketing • Accounting • Personnel Economics/M.M1 - Business Administration/M.M1.M11 - Production Management ,Service provider ,JEL: L - Industrial Organization/L.L8 - Industry Studies: Services/L.L8.L80 - General ,service operations ,Incentive ,JEL: D - Microeconomics/D.D2 - Production and Organizations/D.D2.D21 - Firm Behavior: Theory ,JEL: D - Microeconomics/D.D6 - Welfare Economics/D.D6.D63 - Equity, Justice, Inequality, and Other Normative Criteria and Measurement ,JEL: D - Microeconomics/D.D1 - Household Behavior and Family Economics/D.D1.D18 - Consumer Protection ,JEL: A - General Economics and Teaching/A.A1 - General Economics/A.A1.A12 - Relation of Economics to Other Disciplines ,[SHS.GESTION]Humanities and Social Sciences/Business administration ,queues: priority ,business ,Personally identifiable information ,JEL: M - Business Administration and Business Economics • Marketing • Accounting • Personnel Economics/M.M1 - Business Administration/M.M1.M15 - IT Management ,JEL: D - Microeconomics/D.D1 - Household Behavior and Family Economics/D.D1.D11 - Consumer Economics: Theory - Abstract
Problem definition: We study customer-centric privacy management in service systems. Academic/practical relevance: We explore the consequences of extended control over personal information by customers in such systems. Methodology: We adopt a stylized queueing model to capture a service environment that features a service provider and customers who are strategic in deciding whether to disclose personal information to the service provider—that is, customers’ privacy or information disclosure strategy. A customer’s service request can be one of two types, which affects service time but is unknown when customers commit to a privacy strategy. The service provider can discriminate among customers based on their disclosed information by offering different priorities. Results: Our analysis reveals that, when given control over their personal data, strategic customers do not always choose to withhold them. We find that control over information gives customers a tool they can use to hedge against the service provider’s will, which might not be aligned with the interests of customers. More importantly, we find that under certain conditions, giving customers full control over information (e.g., by introducing a privacy regulation) may not only distort already efficiently operating service system but might also backfire by leading to inferior system performance (i.e., longer average wait time), and it can hurt customers themselves. We demonstrate how a regulator can correct information disclosure inefficiencies through monetary incentives to customers and show that providing such incentives makes economic sense in some scenarios. Finally, the service provider itself can benefit from customers being in control of their personal information by enticing more customers joining the service. Managerial implications: Our findings yield insights into how customers’ individually rational actions concerning information disclosure (e.g., granted by a privacy regulation) can lead to market inefficiencies in the form of longer wait times for services. We provide actionable prescriptions, for both service providers and regulators, that can guide their choices of a privacy and information management approach based on giving customers the option of controlling their personal information.
- Published
- 2020
3. Automated and/or authentic intimacy: What can we learn about contemporary intimacy from the case of Ashley Madison’s bots?
- Author
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Katherine Harrison and This paper is based on research funded by the Danish Research Council of Independent Research as part of the 'New Media – New Intimacies' (NewMI) project, number: 4001-00229B FKK.
- Subjects
Human-Computer Interaction ,Public access ,bots ,intimacy ,humanness ,Ashley Madison ,Computer Networks and Communications ,business.industry ,Internet privacy ,Sociology ,business ,Web site - Abstract
In July 2015 the well-known affairs Web site, Ashley Madison, was hacked and both customer details and internal company correspondence were stolen, and later dumped online for public access. In the analysis of the data, it became clear that the site had extensively used bots to attract customers. This paper brings together these bots with a short story by Candas Jane Dorsey about the discomfiting potential of human-machine intimacies. I use the two to help me explore what I argue is an inbuilt and little discussed expectation/requirement of “authentic” intimacy: humanness.
- Published
- 2019
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