M2 Business Communications

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Analyse the legal, ethical and operational issues in relation to the use of business information, using appropriate examples. Add a section to your report and provide an analysis of the constraints that you have discussed in task 2 and 3. You should discuss how these may impact on the organisations operations, both in a positive and a negative way.

Legal, ethical and operational issues all contribute to Tesco is run as a business. The legislations set in place by the government is the law and must be followed otherwise Tesco could fall under many legal problems resulting in the closure of the organisation. The many various acts are there to not only prevent Tesco from performing illegal acts but also to protect them as well, as this ensures that they are not falsely accused and protects Tesco from any other individuals or organisations who have violated any legal areas against Tesco. The ethical issues allow Tesco to remain morally and legally successful if they behave appropriately. If Tesco follow the codes of practice correctly then they won’t have any problems arising with the ASA and the OFT. If the ASA or the OFT get involved for inappropriate conduct of the codes of practice Tesco could receive heavy fines, this could disrupt Tesco’s profit margin as these fines would be an added expense.

The operational issues are yet another issue which contributes to Tesco’s overall success, as these are what relate to how Tesco operates their procedures and policies within the organisation. If all 3 of these areas fail to function according to legislation and government bodies Tesco cannot, and will not be successful.

One main example of Tesco not morally and legally operating would be a newspaper article which was published earlier in the year stating that Tesco had sold the information, they had collected on their Club Card customers, onto third parties. This not only goes against the data protection act but also shows Tesco behaving unmorally towards...
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