Unfair Gaps🇦🇪 UAE

Internet Marketplace Platforms Business Guide

44Documented Cases
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All 44 Documented Cases

فقدان العملاء بسبب تأخر حل النزاعات (Customer Churn Due to Slow Dispute Resolution)

For platform with 5,000 active sellers: 2-5% quarterly churn = 100-250 sellers/quarter = AED 500,000-2,500,000 lost GMV/quarter (assuming AED 10,000 avg GMV per seller) = AED 2-10 million annual revenue loss. For 10,000 buyer cohort: 1-3% quarterly churn = AED 100,000-500,000/quarter in lost transaction fees.

Marketplace disputes that take 30-90 days to resolve (traditional mediation + court scheduling) drive seller de-listing and buyer platform switching. Users perceive slow resolution as platform failure, not regulatory constraint. Competitors with integrated ODR (Noon, Amazon equivalents) capture dissatisfied users. Each lost seller = lost marketplace commissions and transaction volume.

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تأخير السداد والتحقق البطيء في منصات النزاعات (Payment Delays and Slow Verification in Dispute Platforms)

Estimated 20-40 working days delay per dispute; for platforms with 50-200 monthly disputes: 1,000-8,000 working days/month of blocked capital. Assuming average dispute value AED 10,000-50,000: AED 10-40 million annual working capital drag at 8% cost of capital = AED 800,000-3,200,000 annual financing cost.

Marketplace platforms face extended time-to-cash cycles due to manual dispute workflows. Traditional court litigation can span months; even court-annexed mediation requires scheduling delays and sequential hearings. Manual evidence submission and review by court-appointed mediators or arbitrators introduces 15-40 day processing windows per cycle.

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Fraud & Abuse

2-5% revenue loss from fraud; up to AED 100,000+ per major incident based on transaction datasets

Internet marketplace platforms in UAE face high e-commerce fraud rates, including scam websites and AI-driven fake deals, resulting in chargebacks and revenue leakage from unbilled or fraudulent transactions.

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غرامات عدم تسجيل ضريبة القيمة المضافة

AED 10,000 penalty for late registration; additional fines for non-remittance up to 300% of tax due[6][7]

Non-compliance with VAT registration threshold triggers penalties; non-residents have no threshold for B2C sales, increasing risk for multi-jurisdiction platforms.

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