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FREE online courses on Corporate Espionage - What is Corporate Espionage - Quiz Yourself

Cases to look at

One famous firm specializing in making mannequins for garment exporters, had spent huge sums in foreign travel, client development, (European) human anatomy research and future trends – to lose it all when a rival used a telelens to photograph its dies as the crates were opened in their yard from a roof top across the road!

And if that sounds easy, think about the ease with which one operative got his data. He had been trailing a senior R & D officer in a shoe manufacturing units and got next to him at a hotel bar. After half an hour, he moved in next to him, struck up a conversation on how his feet were killing him – and received a two hour monologue on the future trends in sports shoes, jogging shoes and tennis shoes – enough data to give his client the exact direction of his rivals' production and marketing plans.

 

Slips like this, by people caught at unguarded moments by trained operatives skilled in behavioral sciences, cannot be easily a voided, but constant reminders on the subject of secrecy can help.

 

At an All India Marketing Convention, the representative of M/s Blossom Shampoos, a major player in bath care products, was flattered to receive the close and breathless attentions of a personable young lady, whose badge proclaimed her as a special correspondent for a leading women's fortnightly “Mamselle”. However, her rather persistent and knowledgeable questions on future research and marketing trends of his company rang warning bells and he answered cautiously, in general terms. He later learnt she was an information merchant, selling scoops to the highest bidder. Constant and on-going company lectures, posters and videos on Information Security had paid off.

 

In many ways, the computer revolution has made things even easier for someone after your vital information. Computerization and the Internet have so taken over business and the information industry that often it is hard to differentiate between the two – the medium has become the message.

A company nowadays practically resides in its computer. Anyone getting in can steal whatever he likes – or so compromise information as to render it useless or a source of acute embarrassment. Hackers got into the websites of the Indian Parliament, as well as the ministry of Information Technology and created havoc. Websites of Banks, insurance companies, firms, newspapers, none have been spared. It rarely needs more than average skills. And it can make many a thriller pale by comparison.

 

While formal documents are harder to get, draft copiers/print-outs are easier to reach. It's human nature to neglect a draft, once the final copy is typed. One operative had targeted the contents of people's WASTE PAPER BASKETS – in all the companies he visited – either in the garb of a salesman, electrician, job applicant or customer – he always tried to get two things, the rubbish in people's WPB's and washroom gossip. At least twice, he has found draft agreements relating to major business decisions like mergers, disinvestments and joint ventures.

Few people keep note pads. Pressed to note phone number or address, they'll reach for a paper napkin or memo-pad. Two executives were loudly talking in a restaurant, on a forthcoming product launch that would shake the competition badly. They made notes on little paper scraps, tissue napkins, even the tablecloth! After they'd left, an operative who had trailed them and was listening in, discovered a mine of information – names, dates, and phone numbers. The product launch went off as scheduled, two months later. It was a damp squib – their competitors had already launched parallel products.


I spy



We see so much ‘I spy' stuff in the movies; we get desensitized and refuse to relate it to the real world around us – often with disastrous results.


All it took to reveal a merger between two giant industrial groups took one operative, one sound intensifier (a device that is pointed at people talking softly 200 felt away, to capture every syllable), and one pair of night binoculars and good old legwork. These low-tech devices, available in the SEARS ROEBUCK and all outdoor/hunting catalogues in the USA, can be easily obtained. So next time you try to avoid a (possibly) bugged hotel room, remember – even the outdoors are no longer safe from snoopers.

Simple things like old relationships and hometown loyalties can cut into market shares of major branded products like Pan Parag. More than one successful PanParag ‘copycat' used his Kanpur links to unearth the secrets of the Kothari's best-selling month freshener.

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