Article review on unethical selling practices in Lenovo Name of the university: Lenovo Tumbles after report about alleged Chinese spy-chips
Added on 2022-08-12
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Running head: HUMAN RESOURCE MANAGEMENT
Article review on unethical selling practices in Lenovo
Name of the student:
Name of the university:
Author note:
Article review on unethical selling practices in Lenovo
Name of the student:
Name of the university:
Author note:
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HUMAN RESOURCE MANAGEMENT
Table of contents
HUMAN RESOURCE MANAGEMENT
Table of contents
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HUMAN RESOURCE MANAGEMENT
Article Source: https://www.cnbc.com/2018/10/05/lenovo-tumbles-after-report-about-
alleged-chinese-spy-chips.html
Legal impact of the issue
In the era of 2018, FTC settlement decisions led to the partnership between Lenovo
and Vizio. In case of Lenovo, the settlement seemed to be ineffective, as it led to the
allegations regarding unethical selling of the computers within the US market, which was
previously installed with Chinese soy chips in the software. The alarming issue is that
consumer information was disseminated to the third parties without the consent of the
consumers. This reflects the breach of the standards and protocols of the ethical code of
conduct (Cnbc.com, 2020). The immediate impact of this issue was the loss of confidential
data leading to customer complaints. Involvement of the third parties added an interrogative
parameter to the security of the solutions for the clients and customers. Along with this, the
issue is also a breach to the Data Protection Act (1998). One of the other impacts was the loss
of the share prices by 23%, which led to the controversies regarding surveillance by Amazon
web services and Apple, which was negated by both the companies (Cnbc.com, 2020). This
situation gave rise to the conflicts in the provision of the web services, which deprived the
consumers of their needs. In this perspective, the parameter of “people” was adversely
affected in case of the triple bottom line approach of Lenovo.
Action in terms of the privacy laws
Privacy laws and legislations, at any workplace, is related to the assurance regarding
protection of the consumer data from the instances of commercialization. Typical example
can be Data Protection Act (1998), Consumer Protection Act (2005) and others. In case of the
Lenovo incident, the resolution measures involved entering into consents and mutual
agreements through negotiation for averting the instances of conflicts, discrimination and
harassments. FTC supervised the entire negotiation process and made claims for undertaking
HUMAN RESOURCE MANAGEMENT
Article Source: https://www.cnbc.com/2018/10/05/lenovo-tumbles-after-report-about-
alleged-chinese-spy-chips.html
Legal impact of the issue
In the era of 2018, FTC settlement decisions led to the partnership between Lenovo
and Vizio. In case of Lenovo, the settlement seemed to be ineffective, as it led to the
allegations regarding unethical selling of the computers within the US market, which was
previously installed with Chinese soy chips in the software. The alarming issue is that
consumer information was disseminated to the third parties without the consent of the
consumers. This reflects the breach of the standards and protocols of the ethical code of
conduct (Cnbc.com, 2020). The immediate impact of this issue was the loss of confidential
data leading to customer complaints. Involvement of the third parties added an interrogative
parameter to the security of the solutions for the clients and customers. Along with this, the
issue is also a breach to the Data Protection Act (1998). One of the other impacts was the loss
of the share prices by 23%, which led to the controversies regarding surveillance by Amazon
web services and Apple, which was negated by both the companies (Cnbc.com, 2020). This
situation gave rise to the conflicts in the provision of the web services, which deprived the
consumers of their needs. In this perspective, the parameter of “people” was adversely
affected in case of the triple bottom line approach of Lenovo.
Action in terms of the privacy laws
Privacy laws and legislations, at any workplace, is related to the assurance regarding
protection of the consumer data from the instances of commercialization. Typical example
can be Data Protection Act (1998), Consumer Protection Act (2005) and others. In case of the
Lenovo incident, the resolution measures involved entering into consents and mutual
agreements through negotiation for averting the instances of conflicts, discrimination and
harassments. FTC supervised the entire negotiation process and made claims for undertaking
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