Consumer Data Privacy in the Time of Big Data Analytics

Published: 2022-12-09
Consumer Data Privacy in the Time of Big Data Analytics
Type of paper:  Research paper
Categories:  Health and Social Care Medicine Society
Pages: 7
Wordcount: 1830 words
16 min read

Big data analytics is the practice which is carried out by organizations with the intention of discovering varied data which leads to the realization of patterns present CITATION BiZ04 \l 1033 (Bi & Cochran, 2004). The data retrieved are confidential as they incorporates customer information which is private (Moorthy, et al., 2015). However, the information gathered from data systems is used to improve the production of the companies and organizations by analyzing concepts such as the customer behavior and tendencies and adjusting the product/service to fit the needs of the customer CITATION Dua15 \l 1033 (Duan & Xiong, 2015). Having the knowledge and understanding of the customer needs helps the companies or organizations to plan their marketing strategies. Also, the information acquired from the customer data can be used to analyze the market trends and thus the companies can prepare for the future. However, the customer information needed for the organization is a compromise of customer rights. Customer details and information should be kept confidential which means that the organizations have been carrying on the practice illegally. Therefore the following paper investigates the big data analytics in a sense of understanding if the customer rights are being evoked when companies use their personal information without their knowledge. What do the big data activities carried out by the companies imply in ethical and legal terms?

Trust banner

Is your time best spent reading someone else’s essay? Get a 100% original essay FROM A CERTIFIED WRITER!

Theme of the Study

The following investigation has the theme of understanding the activities of big data analytics which is a business activity run and which influences both the business and the customer. The research further explains the concept of big data in relation to ethical and legal terms.

Description of the Business Situation

Today, some companies and organizations have the tendency of logging into the customer data systems then retrieving the information for analysis purposes when coming up with management decisions. The customers trust service providers with the necessary legal information and in return, the service providers are supposed to endure that the information is well protected and kept intact. Therefore, the act of using the personal information of the clients without making consultations with them is not legal. This is because people have the right to privacy and their private information is their privacy. Therefore, they should be consulted before using invading their personal information and using it for business benefits. However, this marketing strategy though not legal reduces the hard task of customer hunting by identified potential clients and their needs thus creating the products to fit those needs. That way, less effort will be used to connect the customers to the product. The information retrieved entails the frequent places, the purchasing ability of the customer through the income data and the reaction of the customer towards the product and services. When this activity is carried out, the customer is not aware that their rights are getting crossed CITATION Asa16 \l 1033 (Asadi Someh, Breidbach, Davern, & Shanks, 2016). That particular aspect of the situation explains why many of the companies and organizations get away with the practice. Businesses go for the closest information they can get in about the customers hence, they can track the behaviour of the customer.

Marketing strategies incorporated by business are much of an influence on the sales and profits made. Some of the successful businesses emphasize client satisfaction that if a customer is happy for the product or service, they are most likely to return or refer the products to other potential customers. In order to serve the needs of the customers, the company tends to study the repetitive habits of customers through modern tracking methods and thus creating relevant conclusions. The big data analytics strategy is a client-based approach that deals with understanding and analyzing the customer behaviour then adjusting the operations of the businesses to suit the customer interests. The strategy uses customers to serve customers. It is an easier marketing strategy as the audience is already set for the process of marketing with the data also used to predict market trends. The occupation, social media profiles, address and the contacts of the client is the data retrieved by the company. Information protection as well as respecting the privacy of client information which is very personal to them develop to be an issue of concern in the world of business CITATION Bar15 \l 1033 (Baruh & Popescu, 2015). Apart from the information withheld by the organization, the cloud is storage of individual information which when hacked can sell out the personal information of the individual. Therefore, there is a need for improved security measures to protect information stored in the cloud against possible interference through coding. How safe is the delicate information of customers withheld by the trusted organization against the problem of big data analytics or other possible scenarios like interference with data or missing data.

Data Privacy Theories

The issue of data privacy has been theatrically explained in the business context as scholars thrive to understand policies and laws regarding the concept. There are various theories which explain the manner in which information should be handled in an organization and the protocol to be observed. This study looks into the theory of information masking and the theory of information security which explain the rights owned by the customers over their personal information withheld by the companies. Similar and differing thoughts have been generated from the above theories to explain the concept of private data in relation to the rights of the users.

The Theory of Information Masking

Information masking theory explains that big data analytics is an activity which exposes the users or clients to various risks. When the activity is conducted without the consent of the client, then it is not a legal procedure. This modern strategy of, marketing that has been applied by quite a number of companies and organizations is slowly dissolving into the business world. According to the information masking theory, the security of the user is jeopardized when their personal information is invaded without them knowing and for whatever reason. Information that is shared through the cloud can be protected using alogathrims in coding CITATION Xin18 \l 1033 (Xin, et al., 2018). Cloud-based services play a major role in the information and communication technologies specifically in protecting the data of the participants who have been increasing over time. Energy management systems have been improved over time due to the increasing number of participants in ICT. In order to protect the information on the cloud, information masking is required. Simply the term involves covering the original content through transitioning it into another form and therefore preventing the corruption of the information. The theory aims at preventing interruption of big data development e.g. slowing down the process, and at the same time, improving the security of the data effectively.

Theory of Information Security

The theory of information security basically highlights information security and privacy as a right of the users (Xi & Shi, 2016). This means that the user information is rightfully supposed to be protected and that an attempt to use the information without the awareness of the users is going against their rights. The theory further explains that the intention of information security is to ensure that there is the availability of data when required, data presented by the user is secure and the integrity of the business is effective. Achieving the above three goals creates a positive relationship between businesses and the customer. The theory argues for the need to create systems and technologies which can secure data and by doing so legally protecting the rights of the users. In addition, the theory stresses on the need to create a safe environment of the users who can fearlessly issue out their information without the fear of their rights getting deprived as well as the contributors of the data. The above goals will, therefore, help to develop integrity while handling user information. The attempts made by various organizations and companies are in the effort of developing resources which should help the effectiveness of data security at the moment and in the future. It is important to understand that technology is always developing and so should be the efforts of improving information and data. These resources can only be attained in the business world if the three concepts of integrity and security are observed by the security systems.

Laws on Data Privacy

Health Insurance Portability and Accountability Act (HIPPA)

The act seeks to protect the patient information in the health centres by limiting the amount and type of information which can and might be used by the medical practitioners. This is the act that protects the patient right to their information against being publically displayed (Health Insurance Portability and Accountability Act of 1996, 1996). It is important to understand the medical history of a patient is confidential and can only be used for health purpose only. In the health sector information retrieved from the patients by the practitioners is used to address their health problem or conduct a diagnosis of the problem. In both cases, the patient should agree to the terms issue. In addition, the act works in accordance with the health policy of various institutions but cuts across all health institutions. The act was developed earlier before the big data analytics but is concerned with the treatment of private information (patient information) by the concerned organizations specifically the health organizations (Health Insurance Portability and Accountability Act of 1996, 1996). The act relates to the current laws that have been drafted in relation to the insecurity of information.

Securities Exchange Act of 1934

The act was created in the effort of governing the security of transactions which take place in the secondary markets. The mandate of the act was issued to the SEC (securities and exchange commission) which was the body formed in relation to the act in the effort of overlooking the various activities which take place in the trading platform (Seaquist, 2012). These are the actions conducted by professions in the financial fields such as brokers, investors and dealers. The trading activities to be monitored by the body include stocks and exchanges, over-the-counter securities and bonds. The public trading companies are supposed to issue out relevant reports through the security and exchange commission under which necessary study and survey take place. The limitations created according to the act also apply to the national security associations which manage the national trades in order to monitor the goals of the act at the national level. Therefore, through the implementation of the act, there is much transparency which is created between the finance world and the general public. All companies whether national or international are supposed to perform and follow the regulations of the Securities Exchange Act of 1934 in order to ensure a common and fair ground for conducting trade activities and improving the confidence of the potential investors globally (Seaquist, 2012). The SEC has been mandated to supervise various trade activities by dividing it into different departments and by doing so, the body can either choose to settle a case file in the federal court or solving the problem away from...

Cite this page

Consumer Data Privacy in the Time of Big Data Analytics. (2022, Dec 09). Retrieved from

Request Removal

If you are the original author of this essay and no longer wish to have it published on the SpeedyPaper website, please click below to request its removal:

Liked this essay sample but need an original one?

Hire a professional with VAST experience!

24/7 online support

NO plagiarism