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How privacy practices affect customer commitment in the sharing economy: A study of Airbnb through an institutional perspective

Yes / Privacy is an emerging issue for home-sharing platforms such as Airbnb. Home-sharing providers (business
customers) are subject to both digital privacy risks (e.g., data breaches and unauthorized data access) and
physical privacy risks (e.g., property damage and invasion of their personal space). Therefore, platforms need to
strengthen their institutions of privacy management to protect the interests of providers and maintain their
commitment. By applying the micro-level psychological aspect of institutional theory, our research investigates
how providers decide their level of commitment to a platform by evaluating the institutions of the platform’s
privacy management. Our survey recruited 380 Airbnb providers from the Prolific panel. Structural equation
modeling analysis shows that both physical and digital privacy practices strengthen providers’ legitimacy
judgment of the platform’s privacy management and subsequently increase their commitment to the platform.
Our theoretical contribution lies in revealing the effects of physical and digital privacy practices on B2B relationships from an institutional perspective. Our research is among the first to provide an integrative framework
illustrating providers’ psychological process of legitimacy judgement. It also has practical implications for
sharing economy platforms to manage privacy. / The authors gratefully acknowledge the Seed Corn Funding from University of Bradford and the Research Productivity Support Scheme from Macquarie University.

Identiferoai:union.ndltd.org:BRADFORD/oai:bradscholars.brad.ac.uk:10454/19224
Date28 October 2022
CreatorsChen, S., Tamilmani, Kuttimani, Tran, K.T., Waseem, Donia, Weerakkody, Vishanth J.P.
PublisherElsevier Inc.
Source SetsBradford Scholars
LanguageEnglish
Detected LanguageEnglish
TypeArticle, Published version
Rights© 2022 The Authors. Published by Elsevier Inc. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/)., CC-BY

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