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Article . 2026
License: CC BY
Data sources: Datacite
ZENODO
Article . 2026
License: CC BY
Data sources: Datacite
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Behavioral Nudges and the Privacy Paradox in Digital Consumer Ecosystems

Authors: Ishaan Malhotra, Tanvi Kulkarni, Rohan Deshpande, Meera Vasisht;

Behavioral Nudges and the Privacy Paradox in Digital Consumer Ecosystems

Abstract

As digital platforms become increasingly integrated into daily life, a significant "Privacy Paradox" has emerged: consumers express high levels of concern regarding data privacy but continue to share personal information for minor conveniences. This research utilizes the principles of Behavioral Economics to investigate the cognitive biases that drive this discrepancy. By conducting a controlled experiment with 2,500 digital consumers, the study evaluates how "Choice Architecture"—specifically default settings, framing effects, and hyperbolic discounting—influences data disclosure behavior. Our findings suggest that consumers are 40% more likely to share sensitive data when the benefits are immediate and the privacy risks are framed as distant or abstract. The paper identifies the role of "Dark Patterns" in manipulative interface design and proposes a framework for "Ethical Nudging." This research offers strategic insights for MBA practitioners and policymakers to design transparent digital ecosystems that balance corporate data needs with genuine consumer autonomy.

Keywords

Behavioral Economics, Privacy Paradox, Choice Architecture, Consumer Psychology, Digital Marketing, Ethical Nudging, Data Sovereignty, Dark Patterns.

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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
0
Average
Average
Average
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