A mobile-phone retailer collects customers' names, addresses and payment details when selling phones online. A cyber-security investigation found that sever...
Question 1 Report
A mobile-phone retailer collects customers' names, addresses and payment details when selling phones online. A cyber-security investigation found that several staff members used the same password to access customer records. The retailer's manager wants to act responsibly and avoid losing customer trust.
(a) Identify one ethical issue raised by the investigation. [1]
(b) Explain one way a data breach could affect the retailer's profit. [2]
Answer Details
(a) [1] The ethical issue is customer privacy: the retailer has failed to protect confidential personal data adequately.
(b) [2] A data breach may cause customers to lose trust and buy from another retailer. Sales may fall, reducing profit; the business may also face compensation payments or extra security costs.
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