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Week 2 Individual Assignment

In: Computers and Technology

Submitted By jbeezy
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Kudler Fine Foods is planning to develop a frequent shopper program that will track customer purchases as part of a broad marketing strategy to increase their customer purchase cycle, improve their customer loyalty, and profitability. The intent of this program is to use the information collected from customers, over time, to identify trends that will assist in refining its processes and offerings in order to better satisfy all of their customers. Additionally, the information the Kudler Fine Foods Frequent Shopper Program collects from individual customers will be used to develop targeted offers and high value incentives to participants in the program. Before the design and implementation of this system can begin, there are many potential legal, ethical, and informational security concerns related to the development of the program that must be considered by management. Also, the effect this program will have on the organization’s structure must be considered.
As stated previously, there are many legal concerns related to the implementation of Kudler Fine Foods' frequent shopper program that must be considered by management. “Most American and European privacy law is based on a regime called Fair Information Practices (FIP)” (Laudon & Laudon, 2010 p.132). The core principles of the report are already inline with Kudler Fine Foods’ Privacy policy, as outlined on the terms and conditions page of the website. By continuing to follow this policy, Kudler Fine Foods will be able to continue to avoid lawsuits from individuals, or fines from government agencies.
Ethics and perception are larger concerns for Kudler Fine Foods, in part because of their customer base. Higher end customers, with delicate sensibilities, will be more concerned about how their personal information will be used and equally as concerned about...

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