Understanding people's intention to use facial recognition services: the roles of network externality and privacy cynicism

Abstract

PurposeBased on the cognition–affect–conation pattern, this study explores the factors that affect the intention to use facial recognition services (FRS). The study adopts the driving factor perspective to examine how network externalities influence FRS use intention through the mediating role of satisfaction and the barrier factor perspective to analyze how perceived privacy risk affects FRS use intention through the mediating role of privacy cynicism.Design/methodology/approachThe data collected from 478 Chinese FRS users are analyzed via partial least squares-based structural equation modeling (PLS-SEM).FindingsThe study produces the following results. (1) FRS use intention is motivated directly by the positive affective factor of satisfaction and the negative affective factor of privacy cynicism. (2) Satisfaction is affected by cognitive factors related to network externalities. Perceived complementarity and perceived compatibility, two indirect network externalities, positively affect satisfaction, whereas perceived critical mass, a direct network externality, does not significantly affect satisfaction. In addition, perceived privacy risk generates privacy cynicism. (3) Resistance to change positively moderates the relationship between privacy cynicism and intention to use FRS.Originality/valueThis study extends knowledge on people's use of FRS by exploring affect- and cognitive-based factors and finding that the affect-based factors (satisfaction and privacy cynicism) play fully mediating roles in the relationship between the cognitive-based factors and use intention. This study also expands the cognitive boundaries of FRS use by exploring the functional condition between affect-based factors and use intention, that is, the moderating role of resistance to use.

Network Externality as a Mediator on Business Growth:

“…A number of studies have confirmed evidence of the effect of direct network externalities in the digital environment, digital transformation and the influence of network externalities contribute to an increase in the number of subscribers, a reduction in the number of networks (distortion of market competition), and a decrease in telecommunications prices (Radukić et al, 2020). Previous research on network externalities is generally in the telecommunications sector (Hung et al, 2020;Mouakket & Sun, 2019;Na et al, 2019), social networking sites (Hung et al, 2020;Mouakket & Sun, 2019), relating to digital technology (Lyu, Guo, & Chen, 2023;Pang, Ruan, & Wang, 2023).…”

Perceived Risk and External Finance Usage in Small- and Medium-Sized Enterprises: Unveiling the Moderating Influence of Business Age

“…Researchers have emphasized that an individual's PR, often stemming from a lack of information and understanding of financial services, can adversely impact their decisionmaking regarding utilizing these services (Beqaj and Baca 2022). Furthermore, Lyu et al (2023) argued that customers may feel hesitant to use a service, leading to increased PR and uncertainty about outcomes. In the field of finance, studies have identified various factors that contribute to the PR associated with external financing.…”

Consumer engagement with AI‐powered voice assistants: A behavioral reasoning perspective

“…In this vein, it is assumed that users who are worried about privacy issues have developed privacy cynicism as a coping mechanism. Lyu et al (2023) recently found a significant negative effect of privacy cynicism with facial recognition services. Consequently, the following hypothesis is proposed: Hypothesis 3.…”