Arsenal venture to the south coast for a must-win clash with Ralph Hasenhüttl's side following defeats to Manchester City and Brighton.
Arteta is aware of the threat Southampton pose, saying: "They are a very German side.
"A manager who has the team into pressing mode, they are really aggressive, really good on the counter-press, really good on the transition, they know what they're doing and they all seem very committed to him. A very dangerous team.
"They have no fear, they go for it and they really believe in what they do and they compete really, really well. We have to be ready and I'm sure on Thursday we will be ready."
The Gunners will be without a number of key players, including Bernd Leno who is set to miss the rest of the season after suffering a knee injury against Brighton.
Emiliano Martinez will now be given a chance to impress, with Arteta keen to see his second-choice goalkeeper grasp the opportunity.
"He's been very patient for a lot of years, waiting for this opportunity," said the Gunners boss.
"Now it's in his hands. He needs to enjoy it. He needs to take it, enjoy it, make the most out of it and help the team when he really needs to. That's what he is here for."
There will be a number of defensive absentees too, with David Luiz suspended after his red card against City and Pablo Mari out for the rest of the campaign with an ankle injury.
Gabriel Martinelli will also miss Thursday’s game and is expected to be out for a number of months after suffering a minor cartilage injury in his left knee.
"In training in the last action he got hit by another player and he’s damaged his knee," revealed Arteta.
"The doctor is assessing the extent of the injury, but it’s not looking good at all. We don’t know how long he’s going to be out for, but it’s looking like months."
Arteta's side could be boosted by the returns of Lucas Torreira, Granit Xhaka and Sokratis, with the trio resuming full training earlier in the week, while Cedric Soares could make his Arsenal debut against his former side.
Southampton will have Shane Long available following a back injury, but Moussa Djenepo is suspended.