Strategies to Prevent and Detect Occupational Fraud in Small Retail Businesses

Business owners\u27 lack of strategies to prevent and detect occupational fraud in small retail businesses in the United States could result in substantial financial losses or insolvency. Grounded in Cressey\u27s fraud triangle, the purpose of this multiple case study was to explore internal control strategies 6 owners of small retail businesses in southeastern Pennsylvania used to prevent and detect occupational fraud. Face-to-face interviews, observations, and documentation are the data collection techniques I used in this study. Data were transcribed, coded, analyzed, and member checked to identify emergent themes. Six themes emerged from the thematic analysis: financial impact, transaction responsibility and monitoring, networking and business models, communication, separation of duties, and training. The results of this study indicated areas for action that owners of small retail businesses could take to prevent and detect occupational fraud. Strategies business owners could implement to protect their businesses from occupational fraud include monitoring, employee identity documents to track employee activity, separation of duties, and communication with employees. The implications of this study for positive social change include the potential for social entrepreneurship because small business owners create employment opportunities for members of the community, including high school students with the desire to run small retail businesses. Small business owners serve their communities by focusing on wealth distribution, including donations to local charities that foster economic stability with positive effects on society