Meaning ● Platform Ecosystem Risk, for small and medium-sized businesses aiming at growth, automation, and implementation, specifically signifies potential disadvantages and uncertainties tied to relying heavily on digital platforms. This dependence exposes the SMB to external factors it often cannot control, affecting business continuity and profitability. The vulnerability manifests from platform changes (pricing, algorithms), outages, security breaches, or business model shifts introduced by the platform provider. A critical business exposure stems from the potential for becoming overly reliant on a single platform, creating barriers to exit or switching costs.
