Understanding Small Business Scams

This paper provides an overview of the current state of knowledge about small business scams. A scam is a form of dishonest action, based upon an invitation to participate in an activity. Victims are encouraged, mislead or induced to voluntarily interact with the perpetrator, and ultimately to willi...

Full description

Bibliographic Details
Main Authors: Schaper, Michael, Weber, Paull
Format: Journal Article
Published: World Scientific Publishing 2012
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/32491
_version_ 1848753678444396544
author Schaper, Michael
Weber, Paull
author_facet Schaper, Michael
Weber, Paull
author_sort Schaper, Michael
building Curtin Institutional Repository
collection Online Access
description This paper provides an overview of the current state of knowledge about small business scams. A scam is a form of dishonest action, based upon an invitation to participate in an activity. Victims are encouraged, mislead or induced to voluntarily interact with the perpetrator, and ultimately to willingly surrender over money, information or other valuable resources. Common forms of scams directed towards small business include phishing, false business valuations and sales, fake overpayments, false directory and advertisement listings, bust-outs, blowing, cramming, advance fee fraud and misleading self-employment projects. The limited research evidence available to date suggests that small enterprises are particularly vulnerable to these types of criminal activity, are less inclined to report such events, are likely to be subject to repeat attacks, and are particularly susceptible to online scams. This occurs because small businesses often lack the in-house skills, resources and reporting arrangements needed to effectively detect and prevent scams. The paper also briefly examines the entrepreneurial nature of scammers, and explores some of the emergent literature on the psychology of small business scams that may explain scam propensity. Strategies for combating and avoiding scams are discussed, as are suggestions for future research directions in the area.
first_indexed 2025-11-14T08:28:20Z
format Journal Article
id curtin-20.500.11937-32491
institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T08:28:20Z
publishDate 2012
publisher World Scientific Publishing
recordtype eprints
repository_type Digital Repository
spelling curtin-20.500.11937-324912017-09-13T15:23:54Z Understanding Small Business Scams Schaper, Michael Weber, Paull hoax Fraud crime law enforcement scam swindle This paper provides an overview of the current state of knowledge about small business scams. A scam is a form of dishonest action, based upon an invitation to participate in an activity. Victims are encouraged, mislead or induced to voluntarily interact with the perpetrator, and ultimately to willingly surrender over money, information or other valuable resources. Common forms of scams directed towards small business include phishing, false business valuations and sales, fake overpayments, false directory and advertisement listings, bust-outs, blowing, cramming, advance fee fraud and misleading self-employment projects. The limited research evidence available to date suggests that small enterprises are particularly vulnerable to these types of criminal activity, are less inclined to report such events, are likely to be subject to repeat attacks, and are particularly susceptible to online scams. This occurs because small businesses often lack the in-house skills, resources and reporting arrangements needed to effectively detect and prevent scams. The paper also briefly examines the entrepreneurial nature of scammers, and explores some of the emergent literature on the psychology of small business scams that may explain scam propensity. Strategies for combating and avoiding scams are discussed, as are suggestions for future research directions in the area. 2012 Journal Article http://hdl.handle.net/20.500.11937/32491 10.1142/S0218495812500148 World Scientific Publishing restricted
spellingShingle hoax
Fraud
crime
law enforcement
scam
swindle
Schaper, Michael
Weber, Paull
Understanding Small Business Scams
title Understanding Small Business Scams
title_full Understanding Small Business Scams
title_fullStr Understanding Small Business Scams
title_full_unstemmed Understanding Small Business Scams
title_short Understanding Small Business Scams
title_sort understanding small business scams
topic hoax
Fraud
crime
law enforcement
scam
swindle
url http://hdl.handle.net/20.500.11937/32491