Question

In 2004, a large department store chain in Germany was forced to withdraw customer loyalty cards when the press discovered that the company had secreted radio-frequency identification (RFID) tags in the plastic. Even when enclosed in a wallet or purse, these cards can transmit information over distances of about a meter, and the stores planned to use them to track which departments the customer visited. At issue was which data security issue?

a. information keystoningb. data miningc. data warehousingd. data outsourcinge. patterning

Answer 1

The answer is pattering

Answer 2

e. patterning

Step-by-step explanation:

The German luxury store was trying to find out the purchasing trends or patterns of their clients, therefore, it was illegally obtaining data to develop purchase patterns.

In marketing, purchase trends are very important and they are very useful if you are able to determine them correctly. E.g. a person that buys a BMW car will also tend to buy luxury sport watches. So marketing firms can successfully offer luxury watches to all people that purchase BMWs.

The problem with the store's actions was that you need your customers' consent before gathering personal information from them. That is why you have to agree with a lot of user terms for any app that you download, since they all gather your personal information. But if you agree with it, even if you didn't actually read the terms, it is legal.