Sample interview questions: Can you describe a time when you had to assess risks associated with changes in customer behavior or preferences due to technological advancements?
Sample answer:
Assessing Risks from Technological Advancements on Customer Behavior and Preferences
In my previous role as a Risk Analyst at XYZ Bank, I encountered a situation where we needed to evaluate the potential risks associated with technological advancements that could impact customer behavior and preferences.
Situation:
The bank was considering implementing a new mobile banking platform that would replace its existing online banking system. The platform offered enhanced features such as real-time transaction tracking, personalized recommendations, and chat support.
Analysis:
To assess the associated risks, we gathered data from various sources, including:
- Customer surveys and focus groups to understand their current preferences and apprehensions
- Market research to identify emerging trends in digital banking
- Industry reports to analyze the competitive landscape and regulatory implications
We identified several potential risks:
- Customer resistance to change: Customers might be hesitant to adopt a new platform, especially if it significantly differs from their previous experience.
- Security concerns: Enhancements in mobile banking could introduce new vulnerabilities for fraud and cyberattacks.
- Opportunity cost: The development and implementation of the new platform would … Read full answer