Privacy and Value Co-Creation for IT-Enabled Service Systems: Cui Bono?

Ellen Chan, Portland State University
Robert R. Harmon, Portland State University
* Haluk Demirkan, Arizona State University

Almost all IT enabled service systems such as Google, Facebook, Apple, Microsoft, Skype are facing criticisms on their use of customer data and their failure to protect customer privacy. These service companies rely on customers to participate actively in the co-creation of value by providing personal information, data and preferences. Such important resources and assets, if mishandled by companies, can cause harm to customers. Misuse and poor privacy protection for customer information can create ethical, legal, and business consequences, diminish trust and inhibit relationship building between customers and service providers, and affect future value co- creation. This paper identifies the different facets of privacy, explores the intersection of privacy and co-creation of value, and offers suggestions for future research regarding how businesses and customers can benefit from the service while ensuring privacy is protected.

 

* Corresponding Author

Chan, E., Harmon, R. and Demirkan, H. “Privacy, Value Co-creation, and Service Innovation: Cui Bono?” the 2012 Hawaii International Conference on System Sciences, Maui, Hawaii, Jan 2012.