2. Literature Review
The pace of the proliferation of digital content and its negative impacts on privacy has been a subject of major concern amongst scholars, policymakers, and industry watchdogs
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https://doi.10.1007/978-981-15-0135-7_21 |
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https://scholarworks.sjsu.edu/ischoolsrj |
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https://fortune.com/eu-rope/2024/01/29/amazon-iRobot-eu-antitrust-1-7-billion-dealscrapped-roomba/ |
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https://doi.org/10.3233/JCM-226908 |
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[3-14, 21]
. At the core of these privacy concerns is data mining—the systematic extraction of patterns, correlations, and predictions from large datasets—which often involves personal and behavioral data generated through everyday digital interactions
. The continuous advances and proliferation in the digital ecosystem, leading to the expansion of data mining practices, have reshaped the relationship between individuals, organizations, and digital systems, raising fundamental question about
control, consent, transparency, and power in the digital ecosystem. The right to privacy is a fundamental hu-man right that should be protected in the current digital age
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[63, 82]
. Data is seen as the new gold, and data privacy is a major source of concern to all stakeholders. Privacy advocates argue that a privacy framework requires the processes used in gathering and disseminating information to be two-fold: (a)
Appropriate to a particular context and (b)
Comply with norms that govern the flow of personal information in each context
. In the digital economy, data mining techniques are embedded in Online platforms and social media, E-commerce and digital marketing systems, Financial services and credit scoring, healthcare analytics and personalized medicine, Smart devices, IoT systems, and mobile applications. These various systems continuously collect both
explicit data (such as user-provided information) and
implicit data (such as behavioral traces, location data, and interaction logs). And through machine learning and predictive analytics, data mining transforms raw data into actionable insights, often enabling automated decision-making at scale
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Figure 1. Data mining analytic processes.
2.1. Historical Content
Historically, information is power, and both collecting, storing, and collating personal information are means of ac-quiring power
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. In the early 1960s to 1980s, this was the era of mainframe computers, and early databases marked the first major shift in data practices. Governments and large organization began digitizing records related to taxation, health, employment, and social services
. While data mining as a discipline had not yet emerged, concerns grew amongst privacy advocates about centralized data repositories and the potential for misuse. Data mining in its early stage was seen as a great technology with the opportunities it offers, and the greatest challenge facing it was making the transition from being an early market technology into the mainstream. Historically, the greatest early opportunity facing technology was the vast collection of data from websites such as Yahoo, collecting over
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. Consumers always believed and anticipated that privacy loss would be a greater problem in a digital age, and privacy concerns sometimes might influence users to provide spurious information even though data mining services require accurate input for results to be meaningful
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2.1.1. Privacy Concerns in the Digital Age
With the rapid advances in the digital technology with social media, artificial intelligence (AI), big data, and automation, a breach of privacy might occur when individuals are not aware that their data have been collected and passed on to other organizations and used for purposes other than the one for which they were initially collected
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. As data mining increasingly become an indispensable component of the digital economy, and its expansion has fundamentally altered the balance between innovation, privacy, and individual autonomy, Privacy advocates have increasingly voiced their concerns at various opportunities about the impact of data mining on privacy in a digital age. The digital age demands a reexamination of how data is governed, how consent is operationalized, and how autonomy is preserved in increasingly automated and data-driven environments
. Data mining challenges this control by: Aggregating data across multiple sources, Inferring sensitive attributes from non-sensitive data, and Re-purposing data beyond its original context. Privacy concerns have increasingly revolved around
informational self-determination, which is the ability of individuals to control how their personal data is collected, used, shared, and retained. Datamining challenges this control by: Aggregating data across multiple sources, Inferring sensitive attributes from non-sensitive data, and Repurposing data beyond its original context. Ad-dressing these concerns requires interdisciplinary inquiry, combining insights from technology, law, ethics, behavioral science, and organizational governance
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2.1.2. Privacy-Value Trade Off
A significant part of the privacy concerns often voiced amongst privacy advocates is the privacy value trade-off. The rapid proliferation and deployment of various digital technologies that continuously undermine privacy by business enterprises threaten to make informational privacy obsolete
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. The need for a more robust, meaningful definition of privacy becomes more important to satisfy genuine concerns, as electronic data about individuals becomes increasingly de-tailed and as technology enables more powerful collection and curation of these data
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. There is a privacy-Value trade off as digital services are often offered in exchange for per-sonal data, creating a perceived trade-off between convenience and privacy. Consumers may consent to extensive data collection to access services, discounts, or personalization, even when they do not fully understand the scope of data mining practices. In the digital economy, personal data functions as a form of currency, enabling organizations to deliver tailored products, targeted advertising, predictive services, and data-driven innovation
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https://doi.org/10.1016/j.pdc.2019.08.007 |
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. This exchange has become a foundational business model for many digital platforms and data-intensive industries. This dynamic raises concerns about whether consent is genuinely informed or merely procedural. While consumers often recognize the value derived from data driven services, the trade-off is rarely transparent or symmetrical. Individuals may consent to extensive data collection without fully understanding the scope, duration, or secondary uses of their data. Since the complexity of data mining practices is not always transparent to consumers, algorithmic inference and third-party data sharing limit consumers’ ability to accurately assess long-term privacy risks. As a result, con-sent may be procedural rather than genuinely informed
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. From an ethical perspective, the privacy–value trade-off raises questions about fairness, autonomy, and proportionality. When access to essential digital services is contingent upon extensive data surrender, individuals may face coerced choices rather than voluntary exchange. This challenges the legitimacy of consent-based privacy models and calls for stronger structural protections.
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2.2. Importance of Data Protection and Privacy Laws
Data privacy-protection laws aim to protect consumers from being vulnerable through data in the hands of authorized or unauthorized businesses and to protect various members of society
. Consumer data protection and privacy laws seek not only to protect consumers but also to enhance the promotion of fairness, accountability, and transparency on the part of those handling, using, storing, and sharing consumer data
. Consumers may face possible risks from digital products and services that are non-transparent, such that informed con-sent alone may not adequately protect or guarantee adequate accountability, fairness, and transparency from digital service providers
. The argument is that without privacy, individual rights to freedom of expression and freedom of access to information are inherently threatened, and the possibility of living in a civilized, fair, and democratic society
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. Privacy and data protection laws should guarantee adequate protection for consumers, regardless of whether there is in-formed consent from the consumer
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Suggested three core fundamental principles of data protection and privacy laws: (a)
Purpose Specification, (b)
Data minimization, and (c) Treatment of data protected or special categories of people. (
Race, gender, religion, or groups). Consumer protection and data privacy into three broad Phases: (i)
Pre-engagement phase: This phase involve primarily what disclosures and information notifications need to be made known to consumers regarding the use of their data, what purpose, why the data is being collected, how it is being collected if it's going to be shared to third parties, and basic procedures for obtaining in-formed consents. (ii)
Engagement Phase: This phase involves restrictions, carefully detailing responsibilities on the things organizations can do or not do with consumers' or users' data within their custody. (iii)
post-engagement phase: this phase discloses and details accountability measures for holding digital product and service providers, cloud computing organizations, and those using data analytics algorithms, machine learning, and artificial intelligence accountable for any violations of consumer protection and data privacy laws
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2.2.1. Data Privacy-Preserving Schemes
Preservation of privacy in data mining has emerged as an unconditional prerequisite for exchanging privileged information in data analytics
. The argument is that this privacy preservation scheme does not reveal the data owner’s confidential information during the outsourcing process
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Classified Privacy-preserving data mining techniques under the four major techniques of data anonymization, de-anonymization, perturbation, and cryptography.
2.2.2. Cryptographic method
Employ secure-multi-party computation and uses Homo-morphic Encryption (HE), Encryption-based technologies, Attribute-based encryption; Secure Two-Party Computing Protocol. Other privacy models:
K-anonymity, l-diversity, t-closeness, and differential privacy models | [2] | Aggrawal, C. & Yu, P. S. (2008). A general survey of privacy-preserving Data mining Models and algorithms, In privacy-pre-serving data mining. Models and Algorithms, 34(1), 1-2.
http://charuaggarwal.net/generalsurvey.pdf |
[2]
. Homomorphic encryption technology was proposed as one of the most effective and direct means of protecting user privacy that can directly perform operations with results consistent with the results of operations
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Table 1. Illustrates a comparison of proposed privacy-preserving data mining techniques.
Techniques | Method Employed | Data Mining Tasks |
Classification | Clustering | Associated Rules | Regression |
Anonymization | Generalization, Suppression, Permutation | | | | |
Condensation | Aggregate, Rank | | | | |
SMC (Secure Multiparty Computation) | Homomorphic Encryption (HE), Circuit Evaluation & Sharing Scheme | | | | |
Pseudonymization | Cryptographic | | | | |
Perturbation | Adding Noise, Data Swapping, Global recording, Micro aggregation | | | | |
Randomization | Scrambling, Resampling | | | | |
Fuzzy Based | Clustering, Micro aggregation-regression | | | | |
Neural Network Based | Bayesian Network, Probabilistic Neural Network | |
Privacy-preserving techniques help protect and preserve the integrity and sensitivity of the data's content. An important aspect of the privacy preserving technique is the confidentiality of the content of the data
| [2] | Aggrawal, C. & Yu, P. S. (2008). A general survey of privacy-preserving Data mining Models and algorithms, In privacy-pre-serving data mining. Models and Algorithms, 34(1), 1-2.
http://charuaggarwal.net/generalsurvey.pdf |
| [66] | Rao, P. R.M., Krishna, S. M. & Kumar, A. P.S. (2018). Privacy preservation techniques in Big data analytics: A Survey. Jour-nal of big data,5(33),1-12.
https://doi.org/10.1186/s40537-018-018-0141-8 |
[2, 66]
. Also other proposed privacy-preserving measures to enhance confidentiality include:
Encryption, Anonymization, and Noise-based approaches
| [20] | Darwish, S. M., Essa, R. M., Osman, M. A., and Ismail, A. A. (2022). Privacy Preserving Data Mining Framework Negative Association Rules: An Application to Healthcare Informatics. IEEE Access.10. 1-13,
https://doi.org/10.1109/ACCESS.2022.3192447 |
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https://digitalcom-mons.wcl.american.edu |
[20, 85]
.
Figure 2. Taxonomy of data mining analytics.
2.3. Privacy Rights in a Digital Age
Privacy is a fundamental human right recognized in many international agreements and documents
.
| [29] | Galvin, K. H. and Demuro, P. R. (2020). Developments and privacy and data ownership in Mobile health technologies 2016-2019 National Library of Medicine, 29(1), 32- 43. https://doi.org/10.1055/s-0040-1701987 |
[29]
Emphasized the impact of the international regulatory frame-work, such as the
GDPR, which seeks to protect the privacy rights of individuals as a human right. The ACLU maintained that even though privacy laws at the international human rights level are extensively grounded and rooted in robust principles, they have not seemed to have been developed and adapted to adequately fit the needs of the current 21st-century digital society
. In line with the need to strengthen data privacy rights, the
European Union EU strengthened its legislation with the enactment of the
General Data Protection Regulation (GDPR) applicable in the law of member states
. Other privacy advocates referenced the Fourth Amendment of the US Constitution for the protection of per-sonal privacy
. The
right to be forgotten (
RTBF) is also seen as a privacy right concept, which at its core is fundamentally based on the rights to respect privacy, family life, and protection of personal data
.
2.4. Protection of Consumer Autonomy in a Digital Economy
Autonomy and privacy often interact, and consumers al-ways want to have certain control over their personal information. Privacy advocates have often maintained that there is a strong relationship between autonomy and privacy, as privacy and autonomy often overlap in context, and it is particularly important to note that when one's privacy is taken away, autonomy often goes with it
| [12] | Carmon, Z., Wertenboch, K., & Yang, H. (2020, February 28). Consumer autonomy Violations and the coming AI Backlash. The business school for the world. https://knowledge.in-sead.edu/marketing/Consumer-autonomyviolations-and-the-comingai-backlash |
| [67] | Raval, V., & Shah, S. (2020). The practical aspect: Privacy compliance-A path to Increase trust in technology. Privacy. The Practical Aspect. 6, ISACA.
https://www.isaca.org/re-sources/isaca-journal/issues/2020/volume-6/privacy-compli-ancea-path-to-increase-trust-in-technology |
[12, 67]
. Autonomy is closely tied to data practices, as personal data increasingly shapes the opportunities, choices, and outcomes individuals experience in the digital economy. Data mining can undermine autonomy when consumers lack meaningful choice or alternatives. Decisions are influenced by opaque algorithms. Behavioral pro-filing enables targeted persuasion or manipulation. When users entrust organizations with information, they make them-selves vulnerable, and their vulnerability might increase the risk of information misuse, unauthorized disclosure, manipulation, or loss of autonomy
| [80] | Susser, D., Roessler, B., & Nissenbaum, H. (2019). Technol-ogy, autonomy, and Manipulation. Journal on Internet Regula-tion, 8(2), 1-22. https://doi.10.14763/2019.2.141/ |
[80]
. Lack of self-determination can invariably manifest when consumers feel they are unable to control their actions or take actions that make significant changes and impact the features of their environment
| [49] | Lv, L., Yang, Z., Zhang, L., Huang, Q., & Tian, Z. (2021). Multi-party transaction Framework for drone services based on alliance blockchain in smart cities. Journal of Information Se-curityandApplications, 58(4), 1-8.
https://doi.org/10.1016/j.jisa.2021.102792 |
| [93] | Wertenbroch, K., Schrift, R. Y., Alba, J. W., Barasch, A., Bhattachajee, A. Giesler, M., Knobe, J., Lehmann, D. R., Matz, S., Gideon, N., Jeffrey, R. P., Puntoni, S., Zheng, Y. & Zwebner, Y. (2020). Autonomy in consumer choice. Springer Link, 31(1), 429-439.
https://link.springer.com/article/10.1007/s11002-020-09521-z |
| [94] | Woodrow, H., Evan, S., Johanna, G. (2024). Privacy Nicks: How the Law Normalize Surveillance.Washinghton University Law Review. 101(717) 1-74. |
| [95] | Yang, X. Kelarev, A., Yi, X. (2024). Privacy-enhancing data aggregation and data analytics in Wireless networks for a large class of distributed queries. Wireless Network. 30. 4749-4759. |
[49, 93-95]
. Privacy advocates emphasized that if changes aren’t made to protect and appeal to consumers’ sense of autonomy and vi-olation of privacy which data mining analytics and big datasets cause, the impending likely results might be future public out-rage, which might subsequently elicit a regulatory crackdown from government parastatals on data mining and big dataset and the collection and use of consumer data, which poses a far greater threat to the innovative opportunities inherent in data mining and big data
.
2.5. Consumer Data, and Privacy Rights in the Digital Age
In the Digital Age, data—particularly consumer data—has become a key economic and social resource. With the proliferation of digital platforms, online services, the Internet of Things (IoT), mobile applications, cloud computing, and artificial intelligence (AI), vast quantities of personal data are collected, processed, stored, and shared
. This has created new opportunities for personalization, efficiency, and innovation, but also raised profound questions about privacy, autonomy, fairness, and control over personal information. Consumer data and privacy rights are therefore central to contemporary debates in technology governance, legal compliance, ethical business practice, and human rights protection
| [68] | Romansky, R. (2021). Privacy and data protection in the con-temporary digital age. United Nations High Commissioner for Human Rights International Journal on Information Technolo-gies & Securities. 13(4), 1-12.
https://ijits-bg.com/con-tents/IJITS2021-No4/2021-N4-09.pdf |
| [71] | Romansky, R. P., and Noninska, I. S. (2020). Challenges of the digital age for Privacy and Personal data protection, Mathemat-ical Biosciences, and Engineering, 17(5), 5288-5303.
https://doi.10.3934/mbe.2020286 |
[68, 71]
.
Consumer data is the new gold in the digital age. Consumer data is referred to as any information that can be associated with an individual or group of individuals. And it includes the
Personal Identifiable Information (PII): Name, address, con-tact details, government IDs;
Behavioral Data: Online activity, purchase history, browsing patterns;
Sensitive Data: Health records, biometrics, financial data;
Location Data: GPS, connectivity logs;
Derived Data: Inferences about preferences, personality, or habits created through analytics. In a digital ecosystem that comprises manufacturing, production, communication, transaction, and any business process activities, data flows continuously, generating new insights and associated privacy risk
| [85] | Taschner, J. (2021). Era of Accelerating Digital Convergence: Security, Surveillance, Data, Privacy, Big Tech, and Politics. AM. U.INT’LL.REV., 36(4), 773-845.
https://digitalcom-mons.wcl.american.edu |
| [86] | Telikani, A., Shahbahrami, A., & Gandomi, A. H., (2021). High-Performance Implementation of evolutionary privacy-preserving algorithm for big data Using GPU platform. Infor-mation Sciences, 1(579), 251-265.
https://www.sciencedi-rect.com |
[85, 86]
.
2.5.1. Data Life Cycle in the Digital Era
Consumer data typically passes through phases: Collection: Explicit (forms, registrations) or implicit (tracking, sensors), Processing: Analysis, profiling, algorithmic inference, Storage: Cloud databases, distributed ledgers, third-party servers.
Sharing/Transfer: With partners, advertisers, and platforms.
Deletion/Retention: Policy-governed retention and deletion practices. At each stage, privacy and governance challenges arise, requiring legal and ethical oversight. With the current advance in digital technologies and increasing level of deployment of artificial intelligence with algorithms that also undermine consumers' sense of autonomy, privacy, and self-determination, consumers are increasingly becoming more vulnerable
| [4] | Andre, Q., Carmon, Z., Wertenbroch, K. and Crum, A. (2018). Consumer choice and Autonomy in the age of intelligence and big data. Customer Needs and Solutions, 1(5), 28-37. https://doi.10.1007/s40547-017-0085-8 |
| [85] | Taschner, J. (2021). Era of Accelerating Digital Convergence: Security, Surveillance, Data, Privacy, Big Tech, and Politics. AM. U.INT’LL.REV., 36(4), 773-845.
https://digitalcom-mons.wcl.american.edu |
[4, 85]
.
2.5.2. Privacy- Preserving Solutions
The authors propose several methods to help resolve data mining and big data privacy protection issues into three different categories: (a)
Federated learning, (b)
Encryption-based technologies, and (c)
Differential privacy technologies | [2] | Aggrawal, C. & Yu, P. S. (2008). A general survey of privacy-preserving Data mining Models and algorithms, In privacy-pre-serving data mining. Models and Algorithms, 34(1), 1-2.
http://charuaggarwal.net/generalsurvey.pdf |
| [98] | Zhang, L., Huo, Y., Ge, Q., Ma, Y., Liu, Q., & Ouyang, W. (2021). A privacy Protection Scheme for IoT big on time and frequency limitation. Wireless Communication And Mobile Computing, 1(2), 1-10. https://doi.10.1155/2021/5545648 |
[2, 98]
. Privacy violations are not caused by the revelation of big per-sonal secrets but by the disclosure of many cumulative small facts in a row and the lack of trustworthy privacy safeguards in many current services
.
2.6. Privacy Rights: Legal and Ethical Foundations
Privacy rights have been referred to as a fundamental hu-man right. Privacy rights are recognized in various legal instruments and jurisdictions:
Universal Declaration of Human Rights: Right to privacy,
Regional Laws: GDPR (EU), CCPA/CPRA (California), PDPA (Singapore), LGPD (Brazil), PIPEDA (Canada),
Sectoral Laws: HIPAA (health data), GLBA (financial data)
| [25] | European Commission (2020, December 20). Antitrust: Com-mission accepts Commitments by Amazon barring it from using marketplace seller data, and ensuring equal access to Buy Box and Prime. Press Corner. Brussels. https://ec.eutropa.eu |
[25]
. These laws define consumer rights such as:
Right to access personal data,
Right to correct inaccuracies, Right to deletion/erasure, Right to restrict or object to processing, Right to data portability, Right to in-formed consent, Right to be informed about profiling/auto-mated decisions.
Legal protection varies by geography and sector but increasingly emphasizes individual control and transparency
| [27] | Federal Register (2024). Children’s Online Privacy Protection Rule. Federal Trade Commission. Federal Trade Commis-sion. The Daily Journal of the United States N 3084-AB20. https://www.regualtions.gov |
[27]
. Technological and Ethical Design - Privacy-by-design and autonomy-enhancing features should be part of product architecture as privacy preserving measures at the development stage, such as: Contextual consent flows, Explainable AI dashboards, Default privacy protective settings, User-accessible data logs and controls
| [15] | CMA (2021, January 19). Algorithms: How they can reduce competition and harm Consumers, Competition &Market Authority, www.gov.uk/cma |
| [18] | Congressional Research Services CRS (2023) Cyber Crime and the Law: Primer on the Computer Fraud and Abuse Act and Related Status.1-56 https://crsreport.congress.gov |
[15, 18]
. These measures satisfy le-gal expectations and promote ethical legitimacy. Other Legal Responses- Government put in place in view of the escalating concerns, governments introduced stronger data protection laws emphasizing individual rights, transparency, and ac-countability. These frameworks recognized that data mining posed systemic risks to privacy and autonomy that individual consent alone could not mitigate.
Ethical Reframing -Ethical discourse expanded to address: Power asymmetries between data collectors and individuals, Fairness and bias in data-driven decisions collective and societal impacts of surveil-lance. Privacy became viewed as a collective good, essential to democratic governance and social trust
| [59] | Nass, S. J., Levit, L. A., & Gostin, L. (2009). Beyond the HIPAA privacy rule: Enhancing Privacy, improving health through research: Institute of Medicine (US) committee on health research and privacy information. The HIPAA Privacy Rule, National AcademicsPress(US). 1-320.
https://www.ncbi.nlm.nih.gov/books/NBK9579/#a20016f79d dd00061 |
| [65] | Raul, A. C. (2021). Privacy, data protection, and cyber security law review. The law Reviews, 1(8), 1-47.
https://www.sidley.com/en/-/media/publications/the-privacy-data protection-and-cybersecurity-law-review-2021-us |
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.
2.7. Big Data and Data Mining Analytics in Business
In the current digital economy, all businesses thrive on data-driven decisions with data mining serving as a source to un-cover hidden business process information and gain knowledge for making informed decisions
| [3] | Almutairi, N. M. (2020). Privacy-preserving third-party Data mining using Cryptography. ProQuest LLC Dissertation, #29081972, 1-241. |
| [87] | Turley, J. (2020). Anonymity, obscurity, and technology: Re-considering privacy in the Age of biometrics. Boston Univer-sity Law Review, 100 (6), 2179-2261. |
| [88] | Tran, H. Y. and Hu, J. (2021). Privacy-preserving big data an-alytics a comprehensive Survey. Journal of parallel and distrib-utedComputing, 134(1), 207–218.
https://doi.org/10.1016/j.pdc.2019.08.007 |
| [89] | Ulrike, S.F, Marquardt, K., Golowko, N., Kompalla, A. and Hell, C. (2018). Digital Transformation and its Implications on Organizational Behavior. Journal of EU Research in Business, 20(18), 1-14. https://doi.org/10.5171/2018.340873 |
| [90] | Virupaksha, S. and Dondeti, V. (2021) Anonymized noise addition in subspaces for Privacy preserved data mining in high dimensional continuous data. Peer-to-Peer Networking and Applications,14, 1608-1628.
https://doi.org/10.1007/s12083-021-01080-y |
| [91] | Wasastjerna, M. C. (2018). The role of big data and digital pri-vacy in merger review. European Competition Journal, 14(3), verification algorithm based On data mining and accounting information.ScientificProgramming,1(2022),1-11. https://doi.org/10.1155/2022/475899 |
[3, 87-91]
. The immense value data mining provides to enterprises in various industries can never be overemphasized, from Healthcare, Manufacturing, Business Analytics, Retail, Oil and Gas, Telecommunications, Legal, and Financial Services. As a knowledge discovery process, data mining helps enterprises to remain competitive in various industries. Other benefits include detecting fraud, risk assessment, product retailing, supply chain management, and discovering previously unknown valid pat-terns and relationships
| [65] | Raul, A. C. (2021). Privacy, data protection, and cyber security law review. The law Reviews, 1(8), 1-47.
https://www.sidley.com/en/-/media/publications/the-privacy-data protection-and-cybersecurity-law-review-2021-us |
| [96] | Yuan, Y., Xu, H., M. Krishnamurthy, M., and P. Vijayakumar (2024).Visualization Analysis of Educational Data Statistics Based on Big Data Mining. Journal of Computational Methods in Sciences and Engineering. 24(3), 1785-1793.
https://doi.org/10.3233/JCM-230003 |
[65, 96]
. Businesses in various industries employ a range of data mining techniques, such as:
Classification: Assigning data into predefined categories (e.g., credit risk assessment),
Clustering: Grouping similar data points (e.g., customer segmentation),
Association Rule Mining: Identifying relationships between variables (e.g., market basket analysis)
Regression Analysis- Predicting numerical outcomes (e.g., demand forecasting),
Anomaly Detection: Identifying outliers (e.g., fraud detection
), Text and Sentiment Analysis- Extracting meaning from unstructured data
. These techniques are increasingly powered by machine learning and AI, enabling continuous learning and adaptation. Business applications of big data and data mining analytics include: Strategic Decision-Making- Big data analytics supports evidence-based strategy by enabling, Market trend analysis, Competitive intelligence, Scenario modeling and forecasting, Executives increasingly rely on analytics-driven insights rather than intuition alone.
Customer Analytics and Personalization - Businesses lever-age data mining to: Understand customer behavior and preferences, Deliver personalized recommendations and marketing, Improve customer retention and lifetime value. This has become central to digital platforms, e-commerce, and service industries.
Operational Efficiency and Process Optimization - Analytics enables: Predictive maintenance in manufacturing, Supply chain optimization, Inventory management, Process automation and performance monitoring
| [34] | Hamms, J. (2020). Preserving privacy of continuous high-dimensional data with Minimax Filters. International Conference on Artificial Intelligence, 1-9.
https://www.cs.tulane.edu/jhamma/papers/aistats15_2_jh_fi-nal.pdf |
| [56] | Murugeshwari, B., Selvaraj, D., Sudharson, K., Radhika, S. (2023), Data Mining with Privacy Protection Using Precise Ecliptical Curve. Intelligent Automation & Amp; Soft Compu-ting.35(1), 839-851. http://doi.org/10.32604/iasc.2023.028548 |
[34, 56]
. These applications reduce costs and improve responsiveness and agility.
Risk Management and Fraud Detection - Data mining identifies patterns indicative of: Financial fraud, Cybersecurity threats, Credit default risk, and Compliance violations. Early detection reduces financial and reputational losses.
Innovation and New Business Models- Big Data enables: Data-driven product and service innovation, Platform-based and subscription business models, Monetization of data assets.
| [31] | Grant, N. (2023, December 13) Google loses antitrust court battle with makers of Fortnite Video game. International Business News, The-Times-of-India.
https://www.ny-times.com/2023/12/11/technology/epic-games-google-anti-trustruling.html |
| [42] | ISACA (2020). Privacy Compliance –A path to increase trust in technology. The-Practical-Aspect, ISACAJournal, 1(6), 15-19 https://www.isaca.org/resources/glossary#glossp |
| [43] | Iwan, D. (2021). Application of human rights control mecha-nisms in algorithms Decision-making cases, Licenciado sob Uma Licença creative commons, 26(2), 269-291.
https://doi.org/10.25192/issn.19820496.rdfd.v26i22286 |
| [44] | Jin, G. Z. (2018) Artificial Intelligence and Consumer Privacy. NBER Working Papers.1-25.
https://www.nber.org/pa-pers/w24253 |
[31, 42-44]
In many cases, data itself becomes the core value proposition.
Organizational Capabilities and Infrastructure - Technological Infrastructure, Effective Big Data analytics requires: Cloud computing and distributed storage, Scalable data processing frameworks, advanced analytics and AI platforms. Integration across legacy and modern systems remains a key challenge.
Skills and Human Capital - Organizations must develop: Data science and analytics expertise, Domain knowledge to contextualize insights, Cross-functional collabo-ration between IT, business, and leadership. The shortage of skilled professionals remains a barrier to adoption.
Data Governance and Management- Strong governance is essential to ensure: Data quality and consistency, Security and access control, Compliance with privacy and regulatory requirements. Without governance, analytics initiatives risk producing mis-leading or harmful outcomes.
Strategic Challenges and Limitations - Despite its potential, Big Data analytics presents challenges: High implementation and maintenance costs, Data silos and integration complexity
| [15] | CMA (2021, January 19). Algorithms: How they can reduce competition and harm Consumers, Competition &Market Authority, www.gov.uk/cma |
| [23] | Denker, A. (2021). Protection of privacy and personal data in the big data environment Of smart cities. The International Ar-chives of the Photogrammetry, Remote Sensing and Spatial In-formation Sciences. 46(4), 181-186.
https://doi.org/10.5194/is-prs-archives-XLVI4-W5-2021-181-2021 |
| [24] | DeSmet, C. & Diane J. C. (2019). Recent developments in pri-vacy-preserving mining Of clinical data. ACM/IMS Trans. DataSci, 2(4), 1-32.
https://doi.dl.acm.org/doi/pdf/10.1145/3447774 |
| [25] | European Commission (2020, December 20). Antitrust: Com-mission accepts Commitments by Amazon barring it from using marketplace seller data, and ensuring equal access to Buy Box and Prime. Press Corner. Brussels. https://ec.eutropa.eu |
[15, 23-25]
.
Overreliance on quantitative insights without contextual understanding, Risk of
“analysis paralysis” or misleading correlations. Successful organizations align analytics initiatives with clear strategic objectives and organizational readiness. The future of Big Data and data mining analytics in business includes: Greater integration of AI and automation, Real-time, edge-based analytics, Explainable and responsible AI systems, increased regulatory oversight and ethical governance, Analytics will increasingly shift from supporting decisions to co-creating and automating decisions, heightening the importance of trust and accountability. By transforming vast diverse datasets into actionable insights, organizations can improve performance, innovate, and compete effectively in dynamic markets. However, the full potential of analytics can only be realized when technological capability is matched with organizational maturity, ethical responsibility, and robust governance. In a digital age, sustainable business value from data depends not only on analytical power, but on how responsibly and transparently that power is exercised
| [2] | Aggrawal, C. & Yu, P. S. (2008). A general survey of privacy-preserving Data mining Models and algorithms, In privacy-pre-serving data mining. Models and Algorithms, 34(1), 1-2.
http://charuaggarwal.net/generalsurvey.pdf |
| [95] | Yang, X. Kelarev, A., Yi, X. (2024). Privacy-enhancing data aggregation and data analytics in Wireless networks for a large class of distributed queries. Wireless Network. 30. 4749-4759. |
[2, 95]
.
2.8. Ethical Concerns with Algorithms in Business Process
Ethical issues and concerns of data mining with consumer privacy in the digital age require moral or ethical analysis in which the dilemmas contained in these issues are clarified and fundamental solutions are proposed for them
| [53] | Mittelstadt, B. D., Allo, P., Taddero, M., Wachter, S. & Florida, L. (2016). The Ethics of Algorithms: Mapping the Debate. Big Data & Society, Original Research Article, 1(2), 1-21 https://doi.org/10.1177/2053951716679679 |
| [54] | Moss. E & Metcalf, J. (2019, November 14). The Ethical Di-lemma at the Heart of Big Tech Companies. Business Ethics, Harvard Business Review HBR. https://hbr.org/2019/11/the-ethical-dilemma-at-the-heart-of-big-tech-companies |
[53, 54]
. Ethics is the moral principle that governs the behavior and actions of an individual or business enterprise. Computer ethics analyzes the moral responsibilities of computer professionals and computer users and ethical issues in public policy for information technology development and use
. Ethics is the study of what ought to be done, using three distinct categories from different scholars,
first, as a guided action of a fixed set of duties, rules, and policies.
Second, from a teleological perspective, an “action that will bring the most good to the majority or a people that is deemed the most important” is described as a Utilitarian approach.
Third, using the virtue model of ethics tends to in-fluence people in the absence of clear rules, regulations, and guidance, and is motivated by instinct or spiritual will to do the right thing
.
2.8.1. Ethical Foundations
Beyond legal compliance, ethical frameworks highlight:
Autonomy and dignity- Respecting individuals’ control over their information,
Fairness- Avoiding discrimination through algorithmic profiling,
Transparency-Clear, understandable data practices,
Accountability- Organizational responsibility for data misuse. Ethics extends protections beyond what the law may explicitly require
.
Data Proliferation and Surveillance - The scale and velocity of data collection have grown exponentially, often without consumer awareness or meaningful control. Surveillance capitalism describes a system in which data is extracted and monetized, often prioritizing corporate interests over personal privacy.
2.8.2. Algorithmic Decision-Making and Profiling
AI and machine learning transform data into profiles and predictions used in credit scoring, employment screening, targeted advertising, and risk assessment
| [15] | CMA (2021, January 19). Algorithms: How they can reduce competition and harm Consumers, Competition &Market Authority, www.gov.uk/cma |
[15]
. These raise questions about:
Transparency and explain ability, Fairness and bias, Unintended consequences and discrimination,
Data Sharing and Third-Party Risks - Data often flows through ecosystems of platforms, analytics services, advertisers, and partners. Consumers rarely understand the extent of these transfers, raising issues of consent validity and liability in case of misuse or breaches
. Parts of the concerns for privacy advocates involve:
Cross Border Data Flows and Jurisdiction –- The internet is global, but data laws are local. Divergent legal regimes (e.g., GDPR vs. U.S. sectoral approach) create complexity for multinational compliance and raise questions about: Where data is “located” legally, which jurisdiction ap-plies, how cross-border protections are enforced, Security Risks, and Data Breaches
| [24] | DeSmet, C. & Diane J. C. (2019). Recent developments in pri-vacy-preserving mining Of clinical data. ACM/IMS Trans. DataSci, 2(4), 1-32.
https://doi.dl.acm.org/doi/pdf/10.1145/3447774 |
| [27] | Federal Register (2024). Children’s Online Privacy Protection Rule. Federal Trade Commission. Federal Trade Commis-sion. The Daily Journal of the United States N 3084-AB20. https://www.regualtions.gov |
[24, 27]
. High-profile breaches demonstrate the vulnerability of personal data, leading to financial loss, identity theft, reputational damage, and erosion of trust.
Security Risks and Data Breaches-High-profile breaches demonstrate the vulnerability of personal data, leading to financial loss, identity theft, reputational damage, and erosion of trust.
2.9. Laws, Policies, and Regulations, as Privacy-Preserving Measures
Data governance policies are necessary privacy measures to avert unwanted sharing of data collected through the public do-main, and should not be readily swapped between private and public partners due to privacy and confidentiality requirements.
| [23] | Denker, A. (2021). Protection of privacy and personal data in the big data environment Of smart cities. The International Ar-chives of the Photogrammetry, Remote Sensing and Spatial In-formation Sciences. 46(4), 181-186.
https://doi.org/10.5194/is-prs-archives-XLVI4-W5-2021-181-2021 |
| [63] | Popescu, M., Baruh, L., Sudhakar, S. (2024). Role-based Privacy-Cynicism and local privacy Activism: How Data Stewards Nav-igate Privacy in Higher Education. Big Data &Society. 11(2). https://doi.org/10.1177/2053951724120664 |
[23, 63]
. Other privacy laws
General Data Protection Laws inspired by the GDPR, Argentina’s
Protection of Per-sonal Information Act (POPIA), Japan’s
Protection of Per-sonal Information Act (APPI), South Korea’s PIPA Act, and the Australian
Privacy Principles (APPs) privacy protection policy that stipulates for mandatory notification procedure for data breaches, considering the sensitivity of the information
| [29] | Galvin, K. H. and Demuro, P. R. (2020). Developments and privacy and data ownership in Mobile health technologies 2016-2019 National Library of Medicine, 29(1), 32- 43. https://doi.org/10.1055/s-0040-1701987 |
| [36] | Hoffer, R. (2019). Austrian competition law: Tough on big-tech. Competition Law International, 15(2), 131-137,
https://search.ebscohost.com |
[29, 36]
. Privacy laws like the
California Consumer Privacy Act, provides that upon request from a consumer an organization must disclose the categories and specific pieces of per-sonal information the business has collected about a consumer, from the source the business or commercial purpose for collecting and any third party with whom the business shares such information
| [26] | Ekaputra, F. J., Ekelhart, A., Mayer, R., Miksa, T., Sarcevic, T., Tsepelakis, S., Waltersdorfer, L. (2024). Semantic-enabled Architecture for Auditable Privacy-Preserving Data Analysis.SemanticWeb.15(3).675-708. https://doi.org/103233/SW-212883 |
| [63] | Popescu, M., Baruh, L., Sudhakar, S. (2024). Role-based Privacy-Cynicism and local privacy Activism: How Data Stewards Nav-igate Privacy in Higher Education. Big Data &Society. 11(2). https://doi.org/10.1177/2053951724120664 |
[26, 63]
. Some of the applicable data protection Federal laws:
The Federal Trade Commission Act (FTC) of 1994 (FTC, 2006)
, Electronic Communication Privacy Act (ECPA) of 1986 , Computer Fraud & Abuse Act (CFAA) of 1986 , Children’s Online Privacy Protection Act (COPPA) of 1998 , Control Assault of Non-Solicited Pornography and Marketing Act (CAN-SPAN) 2003 . Fair and Accurate Credit Transactions Act (FACTA) of 2003. These policies and laws help to serve as guardrails to enhance consumer privacy against the indiscriminate use of data that might, in turn, lead to a breach of privacy
| [18] | Congressional Research Services CRS (2023) Cyber Crime and the Law: Primer on the Computer Fraud and Abuse Act and Related Status.1-56 https://crsreport.congress.gov |
[18]
.
General Data Protection Regulation (GDPR) – A Global Benchmark. The EU’s GDPR is widely considered the world’s most comprehensive privacy law: Broad territorial scope, High standards for consent, significant enforcement penalties, and established data subject rights. GDPR has influenced other jurisdictions’ laws and privacy-by-design requirements.
California Consumer Privacy Act (CCPA/CPRA). Enhances privacy rights in the U.S. at a state level, emphasizing: Consumer choice in data use, Opt-out rights for data sales, Transparency, and disclosure.
Standards and Best Practices- Industry standards and best practices serve as a regulatory framework providing guidance and oversight over practices within various industries. These standards and best practices in various industries guide most enterprises' business process practices, serving as industry compliance and privacy frameworks
| [59] | Nass, S. J., Levit, L. A., & Gostin, L. (2009). Beyond the HIPAA privacy rule: Enhancing Privacy, improving health through research: Institute of Medicine (US) committee on health research and privacy information. The HIPAA Privacy Rule, National AcademicsPress(US). 1-320.
https://www.ncbi.nlm.nih.gov/books/NBK9579/#a20016f79d dd00061 |
[59]
. Organizations also adopt these compliance privacy frame-works to ethically guide data storage, use, and transfer during business by-Design (engineering principle), and NIST Privacy Framework
. These complement legal frameworks and operationalize compliance. Such as
Consent Management and Transparency, Organizations must design systems that obtain
valid consent, present clear privacy notices, and allow meaningful opt-out mechanisms.
Data Minimization and Purpose Limitation: Collect only what is necessary and use data only for clearly defined purposes.
Governance, Accountability, and Risk Management; Senior leadership, data protection officers, and cross-functional privacy councils are essential to enforce governance and audit compliance.
Privacy Engineering and Security Controls; Technical controls such as encryption, anonymization, access controls, logging, and monitoring are core to protecting consumer-data.
.
2.9.1. Consumer Rights in Practice
Exercising Data Subject Rights. For consumers to exercise data subjects over their information held in various enterprise databases. Consumers may seek access to their data held by organizations, Correction or deletion of data, and transparency reports about usage and sharing. Implementation challenges include identity verification, complex data architectures, and automation
. A significant part of consumer rights in the US is protected by various laws, rules, and regulations, enforced by various government agencies such as the
Federal Trade Commission (FTC), including the
Fair Credit Reporting Act(FCRA), which enforces and promotes, upon request, accurate and private information in files or databases of various credit reporting organizations. Also, the
Fair Debt Collection Practices Act (
FDCPA) - which is a defining Law on in-formation on debt collection in the US applies strict adherence to consumer privacy on personal, family, and household debts. While the
Fair Credit Billing Act (FCBA) and
Electronic Fund Transfer Act (EFTA) establish procedural acts that guide the resolution of mistakes on credit billing and electronic fund transfer account statements, the
Equal Credit Opportunity Act (ECOA) strictly prohibits credit discrimination based on sex, race, national origin, age, marital status, and religion
. There is a fundamental
Structural Power Imbalance, as the asymmetry of power between data collectors and data subjects in a digital economy.
Large platforms and organizations possess superior technical expertise, Extensive data aggregation capabilities, and control over digital infrastructures. Consumers, by contrast, often have a limited understanding of data mining processes and a limited ability to contest or opt out of them. This imbalance challenges traditional notions of free choice and informed consent
| [18] | Congressional Research Services CRS (2023) Cyber Crime and the Law: Primer on the Computer Fraud and Abuse Act and Related Status.1-56 https://crsreport.congress.gov |
| [46] | Kelly, M. J. and Satola, D. (2017). The right to be forgot-ten.University of Illinois law Review, 2017(1), 1-64.
https://ssrn.com/abstract=2965685 |
[18, 46]
.
2.9.2. Ethical and Behavioral Dimensions
Many consumers are unaware of privacy risks or the implications of consent. Behavioral economics shows that privacy fatigue and dark patterns often undermine consent legitimacy. The ethical and behavioral dimensions of privacy examine why privacy matters, how individuals perceive and respond to data practices, and whether digital systems respect human autonomy, dignity, and fairness
| [40] | InFocus (2022). Data protection and privacy law: An introduction: Congressional Research Service CRS. 2(1), 1-3.
https://crsreports.congress.gov |
| [56] | Murugeshwari, B., Selvaraj, D., Sudharson, K., Radhika, S. (2023), Data Mining with Privacy Protection Using Precise Ecliptical Curve. Intelligent Automation & Amp; Soft Compu-ting.35(1), 839-851. http://doi.org/10.32604/iasc.2023.028548 |
| [57] | Nissenbaum, H. (2004). Privacy as contextual integrity: Washington law review,79(119), 1-8.
https://digitalcommons.law.uw.edu/wlr/vol79/iss1/10 |
| [58] | Nissenbaum, H. (1998). Protecting privacy in an information age: The problem of Privacy in public. Law and Philosophy. 17(1), 59-596. https://nissenbaum.tech.corell.edu |
| [59] | Nass, S. J., Levit, L. A., & Gostin, L. (2009). Beyond the HIPAA privacy rule: Enhancing Privacy, improving health through research: Institute of Medicine (US) committee on health research and privacy information. The HIPAA Privacy Rule, National AcademicsPress(US). 1-320.
https://www.ncbi.nlm.nih.gov/books/NBK9579/#a20016f79d dd00061 |
| [60] | OECD (2020). The impact of big data and artificial intelligence (AI) in the insurance Sector. OECD, 1-36.
https://www.oecd.org/finance/The-Impact-Big-Data-AI-Insur-anceSector.pdf |
| [61] | Persch, J. (2021). The role of fundamental rights in antitrust law–a special responsibility For undertakings with regulatory power under Art.TFEU?. European Competition Journal, 17(3), 542–566. https://doi.org/10.1080/17441056.2021.1921514 |
[40, 56-61]
. Since privacy is widely understood as an extension of human dignity and per-sonal autonomy, ethically, it enables individuals to: Control personal boundaries, Exercise freedom of thought and expression, and avoid undue surveillance or manipulation.
| [2] | Aggrawal, C. & Yu, P. S. (2008). A general survey of privacy-preserving Data mining Models and algorithms, In privacy-pre-serving data mining. Models and Algorithms, 34(1), 1-2.
http://charuaggarwal.net/generalsurvey.pdf |
[2]
Key ethical principles in digital privacy arise within industrial practice, and several ethical principles guide responsible data practices:
Autonomy: Individuals should have meaningful control over how their data is collected and used,
Informed Con-sent: Consent must be voluntary, understandable, and revocable,
Beneficence and Non-maleficence: Data practices should benefit users and avoid harm,
Justice and Fairness: Data use should not reinforce discrimination or exclusion,
Accountability: Organizations must be answerable for privacy impacts and failures. Ethical tension arises when commercial incentives, technological capability, and user welfare conflict. Behavioral Dimensions of Privacy revolves around the actions of individuals and their actions towards ensuring privacy
| [25] | European Commission (2020, December 20). Antitrust: Com-mission accepts Commitments by Amazon barring it from using marketplace seller data, and ensuring equal access to Buy Box and Prime. Press Corner. Brussels. https://ec.eutropa.eu |
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https://ssrn.com/abstract=2965685 |
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https://doi.org/10.1016/j.jisa.2021.102792 |
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https://schol-arship.law.ufl.edu/jtlp |
| [52] | Miller, V. (2025). Students Under Surveillance: Big Data Polic-ing and Privacy Rights. Educational Researcher.54(6), 1-4. https://doi.org/10.3102/0013189X251318346 |
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| [55] | Moor, J. H. (1997). Towards a theory of privacy in the information age. ACM SIGCAS Computer and Society, 27(3), 27-32. https://doi.org/10.1145/270858.270866 |
| [56] | Murugeshwari, B., Selvaraj, D., Sudharson, K., Radhika, S. (2023), Data Mining with Privacy Protection Using Precise Ecliptical Curve. Intelligent Automation & Amp; Soft Compu-ting.35(1), 839-851. http://doi.org/10.32604/iasc.2023.028548 |
[25, 46-56]
. A central behavioral phenomenon in digital privacy is the
privacy paradox: this contends that individuals often express strong privacy concerns yet engage in behaviors that expose personal data, such as sharing information on social media or accepting broad terms of service
| [86] | Telikani, A., Shahbahrami, A., & Gandomi, A. H., (2021). High-Performance Implementation of evolutionary privacy-preserving algorithm for big data Using GPU platform. Infor-mation Sciences, 1(579), 251-265.
https://www.sciencedi-rect.com |
[86]
.
2.9.3. Theoretical Framework
The privacy theories that provide the lens for this research study can be summarized in the following perspectives: (i) of information about an individual; it is the control an individual has over information about himself or herself
. Privacy is claimed when individuals or groups determine for them in-formation about them is shared and communicated to society
.
| [83] | Tavani, H. T. (2007). Philosophical theories of privacy: Impli-cations for an adequate Online privacy policy. Methaphiloso-phyLLCandBlackwellPublishingLtd,38(1),1-22. https://www.jstor.org/stable/24439672 |
[83]
categorized privacy theories into four (4) distinct categories. (a)
The Non-Intrusion, (b)
Seclusion, (c)
Limitation, (d)
Control Theories. The benchmark of privacy is
contextual integrity: which is that in any given situation, been transgressed or violated (a)
Norms of appropriateness, and (b)
Norms of flow or distribution, maintaining that contextual integrity is maintained that when both types of norms are upheld in any giving situation
| [46] | Kelly, M. J. and Satola, D. (2017). The right to be forgot-ten.University of Illinois law Review, 2017(1), 1-64.
https://ssrn.com/abstract=2965685 |
| [61] | Persch, J. (2021). The role of fundamental rights in antitrust law–a special responsibility For undertakings with regulatory power under Art.TFEU?. European Competition Journal, 17(3), 542–566. https://doi.org/10.1080/17441056.2021.1921514 |
[46, 61]
. The plausibility of a right to control information about oneself, even one that is limited and constrained by other competing or countervailing rights and obligations, rests on the premise “individual autonomy, dignity, and personal liberty require that persons have the capacity to determine for themselves when, how, and to what extent information about them is communicated to others”
.
2.9.4. Privacy Theories and Philosophical Conceptions of Privacy
Privacy is the right to be left alone, and privacy provides an umbrella under which to act freely. In the context of constitutional law, privacy is regarded as liberty or freedom to act in personal matters. Privacy may be observed from three different perspectives: (a) Privacy as undocumented personal knowledge, (b) Privacy as restricted access, (c) Privacy as control of information
.
Privacy is not simply the absence of information about an individual; it is the control an individual has over information about himself or herself
. Privacy is claimed when individuals or groups determine for them information about them is shared and communicated to society
.
| [83] | Tavani, H. T. (2007). Philosophical theories of privacy: Impli-cations for an adequate Online privacy policy. Methaphiloso-phyLLCandBlackwellPublishingLtd,38(1),1-22. https://www.jstor.org/stable/24439672 |
[83]
categorized privacy theories into four (4) distinct categories. (a)
The Non-Intrusion, (b)
Seclusion, (c)
Limitation, (d)
Control Theories. The benchmark of privacy is
contextual integrity: which is that in any given situation, been transgressed or violated (a)
Norms of appropriateness, and (b)
Norms of flow or distribution, maintaining that contextual integrity is maintained that when both types of norms are upheld in any giving situation
| [46] | Kelly, M. J. and Satola, D. (2017). The right to be forgot-ten.University of Illinois law Review, 2017(1), 1-64.
https://ssrn.com/abstract=2965685 |
| [61] | Persch, J. (2021). The role of fundamental rights in antitrust law–a special responsibility For undertakings with regulatory power under Art.TFEU?. European Competition Journal, 17(3), 542–566. https://doi.org/10.1080/17441056.2021.1921514 |
[46, 61]
. The plausibility of a right to control information about oneself, even one that is limited and constrained by other competing or countervailing rights and obligations, rests on the premise “individual autonomy, dignity, and personal liberty require that persons have the capacity to determine for themselves when, how, and to what extent information about them is communicated to others”
.