Frequent Shopper Program

Topics: Privacy, Internet privacy, Law Pages: 2 (491 words) Published: April 19, 2011
Electronic Commerce

Frequent Shopper Program
Kudler Fine Foods is interested in developing a system to track customer purchases through a Frequent Shopper Program to award loyalty points for redemption. The expected out come for the integration of this new system is to be able to track individual customers purchasing trends and offer loyalty points that can be redeemed for gifts, specialty foods and other products or services offered through companies partnered with Kudler Fine Foods. The system will also make suggestions on products to customers based on their purchasing trends. Electronic Commerce

Legal, Ethical and Security

Individual Assignment: Service Request SR-kf-013

Prepare a 3-5 page paper describing the potential electronic commerce aspects related to the development of the Kudler Fine Foods Frequent Shopper Program. Include the legal, ethical, and security considerations for the development of this program. Additionally, provide a description of the financial analysis you recommend to justify the expenditures related to the development of the Frequent Shopper Program. The details for this program are described in the Service Request SR-kf-013 and on the Sales and Marketing page of the Kudler Fine Foods Intranet site. Use graphics and charts to visually support your paper.

Ethics issues are significant in the area of online privacy because laws have not kept pace with the growth of the Internet and the Web. The nature and degree of personal information that Web sites can record when collecting information about visitors’ page-viewing habits, product selections, and demographic information can threaten the privacy rights of those visitors.

One of the major privacy controversies in the United States today is the opt-in vs. opt-out issue. Most companies that gather personal information in the course of doing business on the Web would like to be able to use that information for any purpose of their own. Some companies would...
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