y Report, November 1999.In a survey of 1400 Web sites in June 1998, the Federal Trade Commission (FTC) discovered that only 14 percent of all Web businesses informed visitors of their data gathering practices. A follow-up study of 364 commercial sites conducted in March 1999 by a Georgetown University professor found that nearly 66 percent of the sites had posted privacy policies (Furger, 1999). Vast majorities of Internet businesses use information practice statements or privacy policies . America Online (AOL), the worlds largest Internet Service Provider (ISP), has responded to its customers’ demands by ensuring the privacy of its records using privacy policies which allow customers to choose if information is released and to whom. SolutionsE-merchants have to decide on one governing body or group to put into place rules that applies to Internet businesses. Before allowing a business to put up a site, it must agree to the conditions set forth by this group. Then, information may become more secure and it puts pressure on the business to make the consumers’ privacy the number one concern rather than the bottom line. It gives the consumer a place to voice complaints and means if a business violates the agreement between itself and the regulator, it is shut down immediately. Because this is a virtual world, it would apply to all Internet businesses, including those outside of the United States. An alternative to this is to leave things as they currently are. Allow businesses to post policies specific to their business. Let it be at the customers’ discretion as to whether they chose to use the website. This still leaves the door open for businesses to continue the collecting and selling of private information, but it forces the consumer to be more aware. Government regulation is another alternative. With government comes complication. Because the Internet is such a new forum for communication, it may take y...
