CDPSE Question #348: Real Exam Question with Answer & Explanation

The correct answer is B: Conduct a business impact assessment (BIA). A business impact assessment (BIA) is the best approach because it evaluates how collecting and processing geolocation data could affect the organization, customers, and operations. It helps identify privacy, compliance, and reputational risks before implementing the product.

Privacy Governance

Question

An enterprise is planning to introduce a new product that involves geolocation tracking of customers. Which of the following is the BEST way to determine the associated risk?

Options

AConduct a third-party application penetration test to identify vulnerabilities.
BConduct a business impact assessment (BIA)
CEvaluate the control environment for the collected data.
DRequire an annual privacy and security assessment.

Explanation

A business impact assessment (BIA) is the best approach because it evaluates how collecting and processing geolocation data could affect the organization, customers, and operations. It helps identify privacy, compliance, and reputational risks before implementing the product.

Topics

#Risk Assessment#Privacy Impact Assessment (PIA)#Business Impact Assessment (BIA)#New Product Development

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