Sunday, 18 August 2013

Why Big Companies Failed

We have notice over the past decade a lot of so called big companies have failed, the main question one could ask is why have these companies gone under is it bad management, lack of vision or is it that they have gotten too relax and failed to see what is going on around them.

Bad management can be very critical to any company, without proper planning any company can go under weather they are cash rich or not. With the huge competition in the global market place companies have to make sure that they hire the right team and the planning and budget as to be right.

Lack of vision as cause may companies to fail, one big example is Kodak. They failed because they where not seeing the future the right way, they where not promoting new products they just stuck with there instant film for decades while other companies like Cannon an Fuji took took advantage of the digital camera.

Many companies top management staff have gotten too relax over the years especially when they are operating in a monopoly environment.Take for example Blackberry they where once king of the smart phone industry, they became very relax and allowed other companies like Apple and Samsung to creep in the market and capture the lion's share of the industry.

Most companies that once operated in a monopoly market environment has taken the decision to fire there old management team and bring in new blood. The main reason for this is because they are not used to operate in a competitive market place. 

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