Case Study 2 Meeting 2

1. GROUP MEMBERS
1. Arni B. Hj. Morshidi P14D461P
2. Anisah Bt Ismail P14D389P
3. Syarifah Rohaya Bt Wan Idris P14D397P
4. Dayang Adelina Bt Hj Abang Muan P14D394P
5. Norhana Aini Bt Saini P14D398P

2. CASE STUDY MEETING 2

3. • Perform an ethical analysis
of Facebook. What is the
ethical dilemma presented
by this case?
Question 1
• What is the relationship of
privacy to Facebook’s
business model?
Question 2

4. • Describe the weaknesses of Facebook’s
privacy policies and features. What
management, organization, and
technology factors have contributed to
those weaknesses?
Question 3
• Will Facebook be able to have a
successful business model without
invading privacy? Explain your answer.
Are there any measures Facebook
could take to make this possible?
Question 4

5. Question 1
Perform an ethical analysis of Facebook.
What is the ethical dilemma presented by this
case?
ETHICAL DILEMMA SOLUTIONS
• Handling and usage of the extensive
information it collects from its users
• FB user’s biggest concerns are the
privacy and user controls over the
information granted to Facebook
• How to gain revenues from user
information without violating their
privacy
• Failed to consider its users privacy
concern when it introduced new
software that users felt to be invasive
• Provides a free service that users pay
for, in effect, by providing details
about their lives, friendships, interests
and activities
• Trove of information to attract
advertisers, app makers and other
business opportunities
• Requires apps to ask permission before
accessing a user's personal details
• Provides people a specific social
networking platform and facilitates
contents sharing and communication
• Facebook exploits and analyzes
customer information, shares info with
third party and provides ads to targeted
ones
• Gives users control on privacy setting,
enables a safe and trusted internet
environment, which maintains a good
relationship with customers

6. Question 2 What is the relationship of privacy to
Facebook’s business model?
Security of Data & Information
The security of data and information
refers to how private the information on a
Facebook page can be
It can be accessed by others and the
extent they can edit the information on
that page
Individual Privacy
The privacy of the individual is how
much information, personal or not is
seen but other users than the creator
or provider of that information
Share information about the user
over the internet, where it can be
freely accessed by anyone
This is where issues of
privacy to the individual
arise.

7. Question 2 What is the relationship of privacy to
Facebook’s business model?
Data Quality
Data quality affects the large amount of games
and applications on Facebook, where the level
of trust for the game or application is not
known
It may be misleading and result in identity
theft or fraud through the use of the
user’s information
Accuracy of Data & Information
With the internet being a free environment, there are
no set rules about who you can be or act as whilst on it

8. Question 2 What is the relationship of privacy to
Facebook’s business model?
Appropriate Information Use
Applications accessing the user’s information and correctly using it without distributing
it to any external sources or companies
Changing Nature of Business
This can be seen as a great opportunity
for marketing over the internet through
ads to be displayed on Facebook
Changes the way market advertisers
work, having to also adapt to using the
internet as their tool

9. Question 2 What is the relationship of privacy to
Facebook’s business model?
Copyright Laws
The copying of original pieces of music or art, just as MySpace music works, where
bands can post their tracks and pieces online, arises the issue of copyright and how
much of the available information can be reproduced
Health & Safety
The use of social networking site Facebook is associated
with issues of cyber bullying and peer pressure

10. Question 2 What is the relationship of privacy to
Facebook’s business model?
Advanced privacy models
One of the most advanced privacy models
for its apps because it lists nearly every
type of data sought
Provides users with the ability to reject
apps' requests for some types of data
Advertising Policies
Facebook's policies restrict app makers
from using any ad companies that haven't
signed an agreement with Facebook
An agreement that prevents the
advertiser from collecting personal
information

11. Question 3
Describe the weaknesses of Facebook’s privacy
policies and features. What management,
organization, and technology factors have contributed
to those weaknesses?
Weaknesses
Allowing
user’s
information
to be shared
and made
public
The
incorporation
and handling
of its news
feed feature
Unable to
delete FB
account or
any of the
information
that is on
user account
FB’s privacy
policy is
difficult to
comprehend

12. Question 3
Describe the weaknesses of Facebook’s privacy
policies and features. What management,
organization, and technology factors have contributed
to those weaknesses?
MANAGEMENT ORGANIZATION TECHNOLOGY
Facebook assumed it had the
consent of users to share
information about them that it
collected through the Beacon
advertising service if they did
not use the opt-out feature
The personal information
collected on the site represents
a mother load to advertisers -
Facebook users do not feel
comfortable enough or have
sufficient incentive to share it
Privacy and user controls over
the information granted to
Facebook are the biggest
concerns most users have with
the site
The company utterly failed to
grasp the extent to which the
service violated its users’
privacy as well as the uproar
such a service was likely to
cause
Users that attempted to delete
their accounts were met with
resistance and often required
outside assistance from
watchdog groups
The service originally began as
an “opt-out” feature.The
company’s servers maintain
copies of information
indefinitely in accounts that
have been deactivated
A strategic management of
FB’s to get its user to share as
much data as possible so that
FB can serve relevant
advertisement to users
The privacy controls over the
personal data is far from what
FB currently offers
A FB user’s friends are not
notified if information about
them is collected by that user’s
application

13. Question 4
Will Facebook be able to have a successful business
model without invading privacy? Explain your answer.
Are there any measures Facebook could take to make
this possible?
 NO - FB will be able to have a successful business
model without invading privacy
 Facebook currently is serving as much to advertise and
reach people as it earns from those advertisements
 There are no fees that are to be paid to join FB or for its
use
 The backbone of FB’s business model is advertisement
 FB needs more users data to customized its ads and
indirectly invading individual privacy

14. Question 4
Will Facebook be able to have a successful business
model without invading privacy? Explain your answer.
Are there any measures Facebook could take to make
this possible?
+VE INDICATORS -VE INDICATORS
The largest social networking sites in the world
and is growing
It has created large numbers of hostile users
because of its privacy violations
Facebook’s interface is simplistic and clean and
tends to attract those looking for a crisp, more
structured social networking environment
Will injure its chances to attract advertisers to its
site, claiming that the engaging and immersive
environment that draws visitors to the site makes
users less likely to click on ads
A unique opportunity for advertisers to reach
highly targeted audiences based on their
demographic information and narrowly
specified criteria
the current application system, where applications
tend to support one another via advertising
through other applications without the aid of
extensive outside advertising, is an unsustainable
model over the long term
A gold mine of opportunity because of the
information the site has gathered and because
of the richness of the social networking
environment
It remains to be seen whether or not the company
can turn its heavy site traffic and trove of personal
information into new revenue streams
Its status as a first-mover in the social
networking marketplace helps attract more
users

15. Question 4
Will Facebook be able to have a successful business
model without invading privacy? Explain your answer.
Are there any measures Facebook could take to make
this possible?
Any Measurements?
To alert all the members
of FB with an electronic
detailed letter stating
that for advertising
purpose information that
is submitted to your
information pages will
be used by FB company
To give the users the
options to either accepts
or reject this offer in
order to install a legal
standing that with the
users of the site as well
as protect the integrity
of the company
To offer applications that
could be put on their
pages in terms of
interactive games and
trivia, in return for
allowing FB to access
users account for
advertising purposes