Towards a Conceptualization of Corporate Risks in Online Social Networks: A Literature Based Overview of Risks

Online social networks provide a range of business opportunities. However, there are various threats and risks that are sparsely considered in research so far. Such possible risks are the loss of reputation and control, industrial espionage, social engineering and malware, for example. Also, many companies are unsure about appropriate activities in online social networks and what key figures might be used to assess their activities economically. The aim of this paper is the identification of technical and managerial risks and the detailed, structured description of each risk. We conducted an extensive literature review to find possible risks in online social networks and social media in general. For risk characterization we evolved a conceptual risk model that outlines all relevant concepts and properties (e.g., risk sources, consequences and risk factors). Thus, a risk catalog for corporate risks in online social networks is presented. The risk catalog describes each risk in detail and consists of four main risk categories: Loss of control, loss of reputation, information leakage and managerial risks. This paper presents one of the first approaches for the systematical identification and description of corporate risks in online social networks.