Types of Risks in Online Marketplace: Identifying, Measuring, and Mitigating Challenges

Abstract

Online marketplaces face a unique array of risks that can significantly impact their operations, profitability, and reputation in the digital economy. This paper explores the diverse types of risks encountered by online marketplaces, including cybersecurity threats, financial fraud, operational disruptions, reputational damage, and compliance challenges. It outlines robust methodologies for identifying and measuring these risks through advanced data analytics and qualitative assessments, providing a comprehensive risk assessment framework tailored to the online environment. Additionally, the paper discusses effective mitigation strategies and best practices for online risk management, offering actionable insights for marketplace operators to anticipate, address, and mitigate potential threats. By understanding and proactively managing these risks, online marketplaces can enhance their resilience, foster trust among users, and ensure sustained success in an increasingly competitive digital landscape.