Question: Seeking Greater Customer Acceptance
Your organization has been in business over 10 years selling consumer home products over the Internet. A year ago, the firm gained much negative publicity when it was uncovered that the personal data it gathered was being sold, unknown to its customers, to third parties. The result was over a 15 percent drop in sales. At this time, the firm has no privacy policy and is debating whether to create such a policy, and if so, what terms it should include.
Review Questions
1. What is the purpose and intent of a privacy policy?
2. What are the key elements that need to be included in an effective privacy policy?
Critical Thinking Questions
1. What obligations and potential issues are raised by creating a privacy policy?
2. What measures should be taken to avoid potential litigation over any new privacy policy?