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                Book Industry    

Book Industry

Ethical, Legal and Regulatory Issues

Team A

Kelly Melle

Jamie Charney

Leslie Nankervis

Carol Thompson

EBUS/400 – E-Business

Brian Barton

February 28, 2005


Ethical, Legal and Regulatory Analysis

Intro

It has become a growing epidemic for company’s to regulate their ethical and legal standings. From the employee’s working within the company, to those consumers taking in the products and services that the company is shelling out, these specifics are things that just about everyone would like to know. Within each company whether they conduct their business exclusively online, if they are strictly brick and mortar, or even if they dabble a little bit into both to conduct their consumer base, they all have standards that need to be regulated, of which the most talked about are the ethical and legal standings of a company. Discussed below are the backgrounds of three separate entity’s and how they stand in each format, as well as, the regulatory procedures in order to keep things running smoothly.

Amazon

As one of the leading online bookstores, Amazon.com must take steps to ensure it engages in ethical business practices in order to gain the trust and loyalty of their customers.  Since many online consumers are concerned about the privacy and confidentiality of their personal information, Amazon.com has established a detailed privacy notice and made it available on their web site so all consumers have the opportunity to review and understand how Amazon.com utilizes their information

According to Amazon.com’s Privacy Notice (), Amazon.com receives and gathers information from consumers through information provided by consumers, automatic information, e-mail communication and information received from other sources.  Information that Amazon.com receives from consumers is collected when consumers “search, buy, bid, post, participate in a contest or questionnaire, or communicate with customer service”.  Amazon.com utilizes consumer information in order to respond to consumer requests, customize consumer shopping, and improve Amazon’s stores and to communicate with consumers.  The most common forms of consumer information that is provided to Amazon.com includes “name, address, and phone numbers, credit care information”; however, more personal information, such as personal description, photograph, and information regarding family and friends may be provided if a consumer participates in other Amazon.com services such as the 1-click ordering, Amazon Friends, and About You features. Amazon.com also explains that if consumers do not provide certain information, that they will not be able to participate in other Amazon.com services.  

Amazon.com informs consumers that they use “cookies” in order to receive and store automatic information about consumers.  Cookies are installed when consumers access Amazon.com’s web site and gather information such as IP address, login, e-mail address, password, browser information, operating systems, and purchase history.  Amazon.com utilizes information obtained from cookies to analyze information in order to create features such as Purchase Circles, Top Sellers and Just Like You.  While Amazon.com informs consumers that they utilize cookies, they also inform consumers that they can obtain utilities from various companies in order to visit web sites anonymously.

Amazon.com also explains that they may receive a confirmation notice when a consumer opens an e-mail from them, as well as informing customers of how to change their Customer Communication Preferences if they do not wish to receive e-mail communication from Amazon.com

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Amazon.com’s Privacy Notice informs consumers of what type of consumer information is shared, with whom they share it and under what circumstances, such as promotional offers, business transfers and in order to comply with legal processes.  Amazon.com explains that there are some businesses that operate stores on Amazon.com’s web site that Amazon.com has no control over, such as Marketplace, zShops, and Auctions sellers, and these are considered third-party transactions.  Amazon.com also operates stores, provide services, or sell products jointly with other businesses, which include AT&T, Toys R Us, Babies R Us, Circuit City, Waldenbooks, Sprint, T-Mobile, Hotwire, Target, and Borders. ...

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