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Cost-effective Firm Investments in Customer Information Privacy

Dimension Value
  • Type of the Research Result
  • Model
    • Other Model
  • Current Status of Development
  • Not specified
  • Number of Cases
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  • Functional Area
  • Supporting Processes
    • Other Supporting Processes
    • Technology Management
  • Company Size
  • Not Specified
  • Lifecycle Phase
  • Pre-Utilization
  • Types of Customers of Value Bundles
  • Businesses
  • Industry Sector
  • Not Specified
  • Standardization
  • No Standardization

Risk is associated with improper handling of sensitive customer information. Profits from e-commerce that are earned when there is improper use of private customer information are subject to lawsuits, restitution and other undesirable outcomes. So a firm will want to ensure appropriate privacy protections are in place to safeguard customer information. The authors present a profit optimization model for customer privacy protection investments considering the potential value implications that arise. They employ a profit-at-risk approach based on valueat risk methods from financial economics.

This research result was described by Sanja Tumbas (12. June 2011 - 8:53)
This research result was last edited by Sanja Tumbas (13. November 2011 - 15:24)

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