Question

Amazon: Describe the fraud risks (Please be industry specific) Need: Resource in where you got the answer about Amazon Fraud risks!

Answer 1

amzn is an e-commerce website, cloud computing, digital streaming and artificial intelligence. but it has gained its popularity in e-commerce sector.

e-commerce is a big industry nowdays, digitalizing the entire trading process. but as it is immensely booming, it faces some of the risks and major issue in its operations.

the major fraud actitvities happening on online portal are:
1. payment

using cards blike debit/ card card have very sensitive information which can be misused or stolen. also cash on delivery option is prone to fraud by cash collection agent

2. return/ refund

people return used products or cheat on products or return the products by intentionally damaging it.

3. delivery logistics

products stolen from the warehouse or changijng shipping address after order placement. dekivery if defective or counterfeit products

4. fake sellers or vendors

fake or forged certificates are used sometimes to register the vendors. inadequate seller or vendor verification can lead to cheat and fraudlent activities.

5. order placement processing

inflated prices or fake discounts or unauthorized price change can lead to frauds in order processing system of online orders.

6. e- mails tricks or scams

sometimes emails are sent about item conveyance however the order placed online does not reflect that can lead a way to scams

7. lack of internal audit