The study contributes to the literature on reputation risks in presenting a new theoretical framework and new empirical findings that improve both theoretical and practical knowledge, especially in the areas of retailing and higher-education services. A further aim is to compare reputation risks in these service sectors. One way of examining such risks is to categorise them as internal or external, and further as positive or negative. The main contribution of the paper is empirical in terms of identifying the actual reputation risks facing organisations operating in the two service sectors.