As mentioned in the chapter, some analysts predict barcodes may be replaced by a wireless technology called radio-frequency iden-tification (RFID). RFID is a system of installing tags containing tiny computer chips on, say, supermarket items. These chips automati-cally radio the location of the item to a computer network where inventory data is stored, letting store managers know not only where the item is at all times but also when and where it was made and its color and size. Proponents believe RFID cuts costs and simpli-fies inventory tracking and reordering. It may also allow marketers to respond quickly to shifts in demand, avoid under- and overstock-ing, and reduce spoilage by automatically removing outdated per-ishables from the shelves. Privacy advocates, however, think the chips provide too much product-preference information that might be identified with individual consumers. In the meantime, Walmart requires its major suppliers to use the new technology on products stocked by the giant retailer.1.Do you think RFID poses a threat to consumer privacy? Why or why not?2.Do you think the technologys possible benefits to market-ers outweigh the potential privacy concerns? Are there also potential benefits to consumers? If so, what are they?3.How can marketers reassure consumers about privacy con-cerns if RFID comes into widespread use?