MIS ASSIGNMENT-3

Case study

NAME: VAIBHAV PAWAR

ROLL NO: 191107
MMS- MARKETING

1. What competitive strategy are the credit card companies pursing? How
do information systems support that strategy?
Answer:
The credit card company need to find a way for customers to choose their own
company credit card.
Credit card company will use each purchase is assigned a four-digit category
code that describes the type of purchase that was made. Shopping can also be
recorded in this category, the code for each type of store are to be separated
to show the difference. These codes allow credit card companies to learn a
great deal about each of its customers at a glance. Overall, the credit card
company use various methods to understand all of the cardholder’s spending
habits, and timely adjustment of the company to level of cooperation and
alliances business. Help enhance the credit card companies more accurate
quality of service.

2. What are the business benefits of analyzing customer purchase data

and constructing behavioural profiles?
Answer:
Credit card companies use the customer database storing purchase
information, analysis will be most beneficial to the company’s chosen strategy
and customer. analysis of the information in the database can also be a
possible inability to repay debt and to evaluate the purchasing power of
different customers. Credit card companies can use the important information
for these customers to credit card application rejected or reduce customers
can use the scope of the money.

3. Are these practices by credit card companies ethical? Are they an

invasion of privacy? Why or why not?
Answer:
Personally yes it is kind of an invasion of privacy but it is a needed action for
guaranteeing that the cardholder is doing nothing wrong.
Everything’s the customers want to buy will be monitored, seem. It’s also use
to show the customer's good or bad affect the willingness to lend money.