Something is wrong with one of your data files and Outlook needs to close

What has worked for me in the past was to create a new profile.  But before doing so, make sure the data is either backed up or accessible in the cloud if you have Microsoft365 or the mail is another IMAP account that you can view online.

Go to control panel > Mail (Microsoft Outlook 2016)

Click Show Profiles

Add a new profile, then remove the other (making sure outlook is closed and not trying to repair or open).

Then open up outlook and add back the pst file.

Again, before doing this, make sure that you can access your mail online or try doing this on a test computer. This has happened to me several for several clients and this was my fix.
 

Hi @Scott: I tried re-creating a profile, and it still pops up with that message. Have even tried to re-install outlook and same issue.
The only thing worked is re-creating user profile. Which i don't want to do for other users.

@manav08

Admin persons proceed the same as per the comment given by "Scott Fell" many years ago.
Hence need to proceed the same.
Of course I copied the comments from "Scott Fell":
Sample at Windows 7:
control.exe
search mail
Click Mail
Click Show Profiles
Click Properties
Click Data Files.
It used to display Location
Close outlook.exe
Take a backup of related pst/outlook files (handle disk space exceptions).
Proceed as per the comment from Scott Fell

Ask the to take the backup using external hard disk or remote system including (secure exceptions, sharing and approval)

I've seen this issue several times recently. Maybe an update caused this. The solution that worked for some people:
1. Open Control Panel -> Mail -> Data Files -> remove all PST files from the list. Will Outlook open then? After that, run scanpst.exe to fix these PST files.
2. Uninstall MS Office with Microsoft Office uninstall support tool.
https://support.office.com/en-us/article/uninstall-office-from-a-pc-9dd49b83-264a-477a-8fcc-2fdf5dbf61d8?ui=en-US&rs=en-US&ad=US 
Go to the section "Completely uninstall Office with the uninstall support tool" download the tool and run it. Then reboot and install MS Office back.

@MURUGESAN: I tried those options already and it didn't worked for us.

@Hello There: I tried to remove the data files and once they were removed, there wasn't any PST file left to run scanpst.exe file. Also re-install outlook and same issue. The only option worked for the user was re-creating computer login profile on that PC.

Did you use the Microsoft tool to uninstall MS Office and all leftover items? Because this step was the solution to the issues I met.

@Hello There : yes I tried that, but didnt worked. So on another machine i tried to login with another user and checked outlook. i found some link where it asked to change the regkey "PromptRepair" but that didnt work either.(Didnt find that key present)
https://serverfault.com/questions/1021033/microsoft-outlook-inbox-repair-tool-keeps-popping-up 

This is new to me. The above usually worked. It really seems to be related to Windows updates since multiple users are experiencing this issue in past days.

I found that someone solved this with this procedure.
https://answers.microsoft.com/en-us/msoffice/forum/all/outlook-wont-start-says-data-file-corrupted-but/cda168db-0106-469f-a33f-538d26bbfb42?auth=1 

Navigate to Computer\HKEY_CURRENT_USER\Software\Microsoft\Office\16.0\Outlook\Profiles
     * Deleted all profiles
* Navigate to Computer\HKEY_CURRENT_USER\Software\Microsoft\Office\16.0\Outlook\PST
     * LastCorruptStore Key - modified the key to remove the file specified.  I just left mine blank
     * PromptRepair Key - modified the value from 1 to 0

@Hello There: Yes i tried this link as well. In my case, profile was there, but after deleting it still didnt worked. PST was missing in registry, i tried creating it and then creating the key "PromptRepair" but still no go.

Did you reboot after all changes?

try repairing outlook, or office

@Hello There: yes i already tried to reboot after all the steps, didn't help though.

@hello: I ended up re-creating profiles as it happened only for two users. but I think this could be the issue. For me, I couldn't get these two reg keys when I checked before.