The purpose of this paper is to show how the development of location‐based services (such as those using global positioning satellite (GPS) systems) has accompanied the growth of mobile telecommunication, providing mobile telephone users with a variety of functions. The paper aims to considers the benefits and concerns that these location‐based services present to consumers.
The paper identifies issues based on the academic literature, relevant theory, and current mobile telecommunication developments.
While location‐based services offer many benefits to consumers, issues pertaining to privacy, trust and justice are significant areas of concern.
Testable research propositions pertaining to consumer behaviour are offered to guide future research.
Socially‐responsible telecommunication firms should consider the issues that are raised here. They should adopt policies to safeguard data, build trust, and offer consumers fair policies as the firms offer location‐based services.
While much has been written about GPS systems and wireless telecommunications, almost no empirical research has been conducted and little theoretical guidance has been offered to prospective researchers. The paper reviews the literature from a variety of disciplines and identifies important theoretical areas to guide future research on consumer behaviour. The paper identifies important issues for researchers and managers.
