Question

In your own words, write an introduction and conclusion, talking about customer privacy in business. The topics discussed within the intro and conclusion: is how privacy and lack of security can affect a business negatively?

Answer 1

Customer privacy can be defined as the process of handling and protection of sensitive personal data or information which is provided by the customer at the time of transaction. when customers are using your service and network then there is the generation of vast amount of data so customer privacy becomes a major issue to managse as expectation of customer are high. when customer do purchasing online then there is a need of various personal information of that customer such as name, phone number, address, credit or debit card deatils, signature, e-mail details, date of birth, information about their opinions, photos, videos, where they work etc which are to be stored on the software of company so it is the responsibility of the owner of business to protect the personal information of the customer from theft, loss, modification, hackers, disclosure, unauthorised access, misuse, interference as well as the they should have the responsibility to destroy or de-identify the personal information of the customer whwnever there is no need of that information for the business owner.

how can business owner make effective privacy plans

1. conduct a data privacy audit to know what data is needed for their business and what data is collected by you and how data is being stored and how data is being secured.

2. business owner should minimize data collection and retention. sometimes business gather extra information than that of infomation required to dispatch the product or services just keeping in the mind that information can be used in future. this is to be avoided by the businesses as the information can be stolen by the hackers

3. by securing their network, databse and website they can secure the data collected by customers about their personal information

4. business owner should describe their current business practices and customer privacy policies to the customers before doing transaction. regulators considers legally binding agreements and privacy policies between business owner and their customers.

5. privacy policy which is a legal document should be simple and clearly described so that customer can understand about their policies regarding the privacy of personal information.

6. business owner should provide choices to the consumer whether to share data or not .

7. business owner should provide a forum against complaints to the customer so that if there is any concer or problem regarding privacy issues then customer can communicate with them.

Impact of lack of security on business

1. privacy matters to the growth of the business as privacy of the personal information is the first need of any customer if there is lack of security of personal information of the customer the customer will not deal with the business owner in the future so it reduces the profit level of the company and puts negative impact on the business.

2. lack of security will result in difficultiesof retaining existing customers and to gain new grounds because if there is lack of security then it will loose the confidence of the customer.

3. there is the possibility of the risk of litigation because the needed security not only protects the customer' personal information but also businees from legal damage which can be in the form of regulatory fines or criminal suits by the effected customers.

4. it will tarnish the reputation level of the business as if there is lack of security then customer will look for other places to visit.

5. privacy matters to the brand if there is lack of security then it will damange the brand image of your company by disrupting the customer experience.

6. privacy is also a product issue not only policy issue. if there is lack of security then it will put negative impact on the revenue of the company.

7. privacy matters to the customers because if they are purchasing your product then they are constantly sharing information online. they also consider what are you doing to demonstrate the customer that there personal data is seured with company. so if there is lack of security then it will puts negative impact on your customer and customer is the king of any business then definitely the negative attitude of the customer will effect business negatively.