principle of management

Social Responsiveness: Discusses the way a corporation can meet the stakeholders’, legal, and ethical expectations. Management, 10th Edition, 2017, Page 87.

Article Summary and Analysis

Huawei has been successful in its business operations, but recently, in May 2019, the company faced sanctions from some of the U.S companies, including Google. The U.S government accused Huawei of cyber security allegations, where its 5G network can enable surveillance by the Chinese government. The ban is part of conflicts going on between the U.S and China. In August, the U.S government took a step further by restricting government agencies from doing business with the company. The decision was approved by the Congress a part of the defense bill that was signed in the previous tear. The ban means the Huawei Company will no longer provide telecom gear and video surveillance equipment. This is part of the measures that the government has taken to deal with the security concerns in the country.

Huawei says it released a statement saying that they expected the ban to put in effect after the company was banned from using Google services. However, the company said it would challenge the decision in court because it viewed the ban as a trade barrier for the company based on its origin, and there is no evidence of wrongdoing. Since May, Huawei has been blacklisted by the Commerce Department from getting supplies from the American companies after the security accusations went public. The government thinks that the company’s equipment can give the Chinese government access to communications and other information by the American citizens.

From the book topic, it is wrong for companies to engage in unethical operations that may endanger the security and privacy of the users. I think the government did the right thing to enforce the ban on Huawei when it was found a suspect of security breaches. There is proper legislation that governs how giant companies treat the customers, and any violation of the regulations should call for immediate reaction. For the big companies, there should be precautionary measures that limit their operations lest they began exploiting the market. Companies to protect

As much as the allegations might be premature, sensitive data of the public should not be sent over a public network without being encrypted because it can put the consumers in danger. No single company should be left to handle something as critical as the 5G network. If something in the future goes wrong, the effects will be devastating both for the government and the consumers. The government is right to impose the ban on Huawei when it feels that it doesn’t comply with the regulations that govern such companies. In the current world, there are many incidences of data breaches. The government should, therefore, act as a third party entity which can do security audits to ensure there are no security vulnerabilities.