Market-oriented corporate digital responsibility to manage data vulnerability in online banking

Abstract

PurposeThis conceptual paper explores gaps in bank privacy protection practices and advocates for banks to integrate market-oriented (MO) approaches in their corporate digital responsibility (CDR) initiatives to minimize consumer data vulnerability.Design/methodology/approachTo apply MO in CDR, this study recommends adoption of a behavior change framework comprising of the co-creation, build and engage (CBE) model and proposes the creation of consumer segments based on generational cohort and tailoring strategies through motivation, opportunity and ability (MOA) model to manage vulnerability.FindingsThe study specifies that managing consumer data vulnerability requires a unique strategy different from conventional service delivery. A holistic approach is recommended by integrating corporate digital responsibility as a pivotal element of organizational strategy and by positioning vulnerable customers as a critical stakeholder.Originality/valueThe paper contributes to the research in corporate social responsibility (CSR), privacy and data vulnerability in the banking sector in two prominent ways: first, the study demonstrates the importance of MO as a premise to develop a novel version of CDR called market-oriented digital responsibility (MODR). The study considers MODR as a strategy to reposition vulnerable consumers as a key stakeholder, and, second, the study proposes an innovative set of consumer segments based on data vulnerability and introduces a data vulnerability growth model (DVGM) connecting vulnerability with age.

Online banking and privacy: redesigning sales strategy through social exchange

“…This study provides a foundation for bridging the gap between offline and online banking practices to safeguard consumer privacy through enhanced correspondence. The existing literature fails to reduce barriers resulting from data misuse, cyber-crime and identity theft, impacting online banking adoption and usage (Ali, 2019;Azemi et al, 2019;Banu et al, 2019;Liyanaarachchi et al, 2020). Consistent with this thinking and expanding on the concerns raised in previous research, this study introduces a novel theoretical framework recognizing online consumers' diverse concerns by assuring privacy protection and control.…”

Corporate Digital Responsibility Challenges for Sports Betting Companies

“…Cameo Literature Review Liyanaarachchi et al (2020) suggested that ''corporate digital responsibility is still in a nascent stage of academic inquiry'' (p. 15). Although little, or no, work has been published in the academic literature on corporate digital responsibility within the sports betting industry, there is a small but growing body of published work on digital responsibilities in other business sectors.…”

“…More specifically, in a conceptual examination of the management of data vulnerability in online banking, Liyanaarachchi et al (2020) identified gaps in bank privacy protection practices and recommended that banks integrate marketorientated approaches, which look to reposition vulnerable consumers as key stakeholders, in their corporate digital responsibility initiatives. Liyanaarachchi et al (2020) advised that managing consumer data vulnerability necessitates ''integrating corporate digital responsibility as a pivotal element of organizational strategy and by positioning vulnerable customers as a critical stakeholder'' (p. 1). Thelisson et al (2019) argued that the development of a Digital Responsibility Index could play an important role in restoring trust in a data-driven economy and that it would offer a concrete way of quantifying the implementation of artificial intelligence principles in corporate practice.…”

“…In some ways, as Thorun (2017) suggested for example, sports betting companies claim to be extending their traditional approach to corporate social responsibility in order to address some of the new challenges that have emerged in the digital era. In addition, as recommended by Liyanaarachchi et al (2020), some companies have suggested that they are looking to emphasize their commitment to vulnerable customers. Moreover, as advised by Lobschat et al (2021), some companies have sought to provide actionable guidelines for customers.…”

What cybercriminals and banks do not want you to know: lifting the lid on the data vulnerabilities of online banking users

“…Data from cybersecurity firm Kapersky reveals that two per cent of 2019's online transactions were fraudulent, while 16% of global transactions involved high-risk unauthorized activity. A research paper by Gajendra Liyanaarachchi et al (2020) analyzes the holes in online banking privacy protection practices and makes the case for mitigating customers' risk vulnerability with a consumer-centric corporate digital responsibility (CDR) approach. The resulting market-oriented digital responsibility (MODR) strategy further enables banks to map out the personal data vulnerability of customers according to age group.…”