Risk analysis of E-commerce project development based on fuzzy set theory and analytic hierarchy process

Risk analysis is one of the most important stages in E-commerce (EC) project development. In this paper, a new method, based on Fuzzy Set Theory (FST) and Analytic Hierarchy Process (AHP), is proposed for the risk analysis of EC project development. First, the AHP is used to specify the risk factors and to establish a risk assessment model. Second an overall risk, indicated by a linguistic variable, is obtained by integrating the expert's assessment results for each risk factor. Finally, the overall risk is translated back to the natural language representation which expresses the degree of risk of the EC project development. An empirical study shows that the proposed method is feasible and efficient.