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ACCA Applied Knowledge · Business and Technology · Technological factors

A household appliance manufacturer fits sensors and internet connectivity to its washing machines. The machines now report faults to the manufacturer, which can then arrange repairs before a breakdown occurs. Which of the following is the MOST direct benefit to the manufacturer of this technology?

The most direct benefit is that the manufacturer can provide proactive after-sales service and use the collected usage data to improve future products. Data protection duties still apply to customer data, and connectivity does not stop competitors copying the product.

  1. AIt can offer ongoing after-sales services and use the usage data to improve future product designCorrect
  2. BIt removes the need to comply with data protection requirements because the data belongs to the machine
  3. CIt guarantees that competitors cannot copy the product

Explanation

Connected products generate usage data, allowing the firm to offer proactive servicing and to refine future designs. Data protection obligations still apply to personal data collected from customers' homes. Connectivity does not prevent copying by competitors.

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