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ICT 502 Description Of Role In The Company And Industrial Espionage Assessment Answer

ICT 502 S2 2020 WORKSHOP

Scenario Workshop EIGHT

Workshop:Industrial Espionage

In the previous tutorial, you used Competitive Intelligence to obtain information on your competitor legally in order to find out what its developers and management may be up to. From analyzing the results of the BI exercise, it was concluded that it is very likely that they (the competitor) has developed a new marketing method that would promote Online shopping.

You know the legal and ethical limitations of competitive intelligence, but now you are contemplating using Industrial Espionage against your rival. Thinking may be unethical or immoral, turning thoughts into actions is illegal!


Based on the above scenario, you suspect that your competitor may be able to become the first and biggest Online seller in the health and beauty. This is worrying because the competitor can hold a significant portion of the market, and given that these method can remain operational for few years, it will be very difficult to recapture the lost market share.

The CEO has suggested/hinted in using Industrial espionage to obtain the following information.

  1. At what stage is the competitor at?
  2. How could they overcome other competitors?
  3. Technical information with regards to the new selling product.
  4. Sales and Marketing strategy with regards to Online shopping.
  5. Pricing, discounts and warranty.
  6. Any other useful information.

Role play your assigned position within the company and discuss how the company can use Industrial Espionage to find out the required information. You should make use of your knowledge gained from earlier tutorials, the provided company profile as well as further research to create a plan to spy your competitor. You may make any reasonable assumptions in your plan, but you must state these assumptions clearly in your written work.

You may find it helpful to:

  • Know the major way in which industrial espionage can be conducted. Review what you have learnt in previous tutorials about the four functional areas of security. You should know by now, what are the threats and threat defence and how they relate to the four functional areas of security. You will need to think about the defences and how to exploit weaknesses in those defences.
  • Consider the legal and ethical implications of using Industrial Espionage and the potential backlash if caught.
  • Consider using some kind of risk management process when conducting industrial espionage.
  • There are tons of information on the Internet on the topic of Industrial Espionage. It might be useful to do some research and review some of the information available.
  • Do not forget to use proper referencing style. The University takes plagiarism and acts of dishonesty very seriously.


Industrial Espionage

Task- To describe my role in the company and Industrial Espionage 

Scenario: The House of Beauty Ltdis a leading beauty and health care organization present in the Australian market. The company has launched an online shopping portal which includes the comparison with similar products that helps the organization to capture more costumers in the country. The company also offers a weekly subscription package which allows the customer to purchase an appropriate product. Still, at the same time, Jacqueline Beauty Ltdhas knocked at the door of the market and grown-up as the biggest competitor. It has been noticed that the company Jacqueline Beauty Ltd. is hiring more employees and also focusing on the marketing strategies to gain the trust of the costumers. The company is using every possible option to defeat the competition. As from the result, it is suspected that the company Jacqueline Beauty Ltd. may be able to become the highest dealer in the online market in beauty and health care department. The CEO of the House of Beauty Ltd. is worried about the competitor, who is getting more orders and getting a significant position in the market. He was also concerned about holding a similar place in the market.

Analyzing solutions: As per from the report of the market, the competition is rapidly increasing, and the company Jacqueline Beauty Ltd. is receiving a massive amount of request from retails and individuals.  For justifying my role in the company The House of Beauty Ltd., as a beginning step, I will call a meeting with my colleagues in which, we will discuss the current situation and the progress of work of the company that actually will help in analyzing the status of the competition. After analyzing the scenarios and conditions, further, we will discuss the competitive intelligence; thus, we can evaluate where we are lacking (Surmi et al., 2020). After calculating all the odds, while concluding the meeting we call the production department to increase the rate of production, developer team to improve the quality of the product finally we ask the marketing team to reach every individual so that our work can get to everyone, this could help our company in establishing our previous reputation in the market.

Getting into competitor's style: Secondly, We will evaluate the stage of competitor that are they standing and what technology are they using. I can use industrial espionage, which means an unethical way to achieve competitive advantages by stealing the secret and strategies of the company. I with my team will try to steal the secret of the competitor company by trespassing onto the property of a competitor. We can also use our spy as the employee of Jacqueline Beauty Ltd. so he can keep eyes on their working easily. Further, we will try to find out trade secrets and identify the method of working of Jacqueline Beauty Ltd. We will try to steal the newer process on which they are performing. The information about their working system, production unit and marketing strategies will further help us in achieving our desired goals (Baiyere et al., 2020). I will try to buy the same machinery and methods as they are using so that our production can increase. With the help of ordinary people, we can spread rumors about the other company, so the reputation of their price will drop. We will try to reverse the equations by lowering their level of production with the help of our spy as their employee.  

Technical aspect and Marketing Strategies: The technical aspect of the company means the technology and working style of the company which is used for production (Stanford & J, 2017). Third, different companies use dissimilar techniques and skills to increase the quality of output, so we will try to acquire their technical skills. The spy in the competitor’s company will inform us about their upcoming product, so before them, we will introduce that product in the market, which will help us in growing more audience. We can also approach their employees who are best in a different field that can help reduce competition. By choosing the appropriate market and audience, we can increase our sell, and can also reduce their status. There is a possibility if we buy the stakes of that company and then sell it when it has a higher loan on it that can bankrupt the company. Marketing strategy states the overall plan for reaching preferred consumers and audiences and converting them as a regular customer of the products or services. There are several kinds of marketing types of strategies are; Business to business means the marketing of products to other organization and firm to the consumer indicates the company uses strategies to promote its development to individual people (Mingione et al., 2020). This approach of marketing can help our marketing team to reach the desired location or preferred consumer. We can also boost our selling by introducing numerous marketing strategies into our company such as; first is Cause marketing is a kind of marketing which is done for both increasing profit and betterment of society (Ballings et al., 2018), another is Relationship marketing which focuses on the relationship of the company with the customer for a longer duration of time. Last is under cover marketing which involves strategies to introduce a product to the customer without making it seems like advertising (Pelsmacker et al., 2018). Several new techniques of marketing have also been introduced, such as social media marketing, E-mail marketing, Content marketing. These are several marketing strategies which are required to bring up in our company the House of Beauty Ltd. so that we can easily reach to our consumer and can also defeat the Jacqueline Beauty Ltd. We can also create buzz over the internet like 50% off sales, buy one get one free, limited time offers and many more so that sells can increase. We can also lower the price of products, or introduce discounts on products or increase the warranty or guarantee of the products, that can attract the customer, and it can be helpful in competing with other company. We can also introduce a feedback cell which can record the different responses of customers about the product and hence it can help us in making the work better for the future. Their risk management system needs to introduce in the company to establish its development in the market; these are identifying the risk than measuring the risk and examine solution after that implementing the solution lastly monitor the result. 

Industrial espionage: Industrial espionage can be defined as the unethical and illegal theft of business or company strategies to compete with the competitor company to achieve competitive advantages (Solberg & k, 2016). A company can adapt several industrial espionages as a tool for commercial purpose while the government uses it for security purpose. There are several strategies, by which a company can prevent espionage like, minimizing and safeguarding of the physical documentation, protecting digital information with the help of password, and many more. In the corporate field, industrial espionage is considered a crime; it is prohibited by the government. According to the Australian law, if any person found doing such crime, have to submit the fine and sentenced to jail. (Oxnevad & I, 2019). If anyone is sharing any personal document or any personal data with other company, then it is against the law and considered as a crime. Some of the industrial espionages are; hacking, social engineering, wiretapping, and trespassing. The industrial espionage takes place to gather knowledge about the organization, formulas, manufacturing system, ideas and processes. Example of industrial espionage is breaking into the industry as employee and trespassing onto the private property without proper approval. Posing as a worker and learning the secret of trade, ideas of manufacturing, stealing the confidential documents, and wiretapping phones of competitors. Concerning the legal implication Australia brings in its first espionage act in 1914, with name Criminal Act 1914, but it was replaced in 2002. According to Criminal Code Act 1995 is a person is found doing any mischievous activity regarding espionage, the penalty of 25 year as a prisoner. There was a case recorded back in 1997, a person from Washington DC, was blamed for the theft of trade secrets and saving system from Gillette (Geerts & M, 2020). He stole the information of new saving system that was developed by the company and sentenced 15 years in jail. Another similar case from the Kodak in the ’90s, a man of fifty-six-year-old stole the property worth millions of dollar, later he faced 15 months of jail and fines of $50,000 (Binati & A, 2019).

Conclusion: As the conclusion, we all have backed-up our belts and ready for the competition with the company Jacqueline Beauty Ltd., and we are prepared for the consequences too. The marketing strategies have been made for the betterment of the company and product. To compete in the global scenario, one needs to be loyal and worthy towards the company. To achieve any goal, we should not opt for any illegal or unethical way of competition. The industrial espionage is the unlawful way to compete, and this does not suit the industrial challenge. As a result, this may lead to criminal cases. At last, we should always use competitive intelligence instead of industrial espionage.

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