Privacy Concerns of Online Shoppers Research (Research Paper Sample)
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Privacy concerns of online shoppers
Term Paper for BUS 1100
Firms use personal data to improve their services or offer more personalized advertising, but there is also a risk that online data can breached by third parties and compromise privacy. Aggregation of personal data in databases and the ability of various entities to get access to personal information indicate the risk of shopping online. There is no uniformity on laws adopted to enhance privacy among online shoppers. Users can use private encryption for all transactions and online retailers and vendors can implement security measures like installing firewalls, better data validation and implementing security policies. Credit card fraud, identity theft and purchase fraud are risk factors in online shopping and shoppers ought to be better informed to improve to avoid sharing data to unauthorized third parties. Differences in the trust towards online shopping among consumers depend on perceptions about privacy, risk, the level of security and the website quality.
Online consumers get concerned about the level of security of their personal information, and many would prefer to know whether their data is shared to third parties and for what purpose. For online shoppers, privacy is the customers’ ability to control the information about themselves and their online activities in electronic commerce Surveys of online shoppers highlight these concerns and while shoppers may also prefer personalized service based on their needs, this is mostly possible when marketers and the online retail outlets have information. There is a challenge for many organizations, which seek to provide highly personalized service while ensuring data security. As such, online outlets ought to understand the customers’ preferences, purchasing history and demands, and this depends on online shopping data and information collected, stored and analyzed (Flanagin et al., 2014). However, even unauthorized third parties can seek access to data potentially compromising privacy and even increasing the risk of fraud. Policies to maintain online shoppers’ privacy and prioritizing data validation are necessary to protect online users’ privacy.
The internet is an important avenue for marketers, advertisers, and promoters to market and promote their products and services. This at times requires online shopping habits of the online shoppers, but they should also maintain privacy, to establish a favorable environment between companies and consumers. The lack of privacy in online shopping remains a concern among users afraid that they will lose control of personal information available online after submitting to various only platforms including online shopping sites (Mohammed & Tejay, 2017). It is no surprise the lack of protection of privacy is one of the barriers to enhancing, and encouraging the consumers to participate in e-commerce activities.
General Data Protection Regulation (GDPR) (EU)
The EU adopted the General Data Protection Regulation (GDPR) (EU) in 2016, which highlights the rules that companies in the EU ought to abide by, when collecting personal data, protect users’ data and privacy (McCallister, Zanfir-Fortuna & Mitchell, 2018). While such policies are unlikely to be adopted in the US because there is clamor more deregulation, they are borne out of concerns that online retailers often fail to secure user information and maintain privacy as expected. Protection of personal data includes identifying information like physical address, name, email address and the phone number. Private data protection policies further highlight the scope and purpose of the private data held by companies, where users are informed about the way a firm intends ...
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