Today’s economy and business climate is tougher than ever and yet it’s amazing to watch, and sometimes experience, how some companies flourish during these times, others do OK, and yet some are falling apart.
Well respected business author Jim Collins has written another great book called “How the Mighty Fall, and Why Some Never Give In” which discusses that topic in detail.
In one section of the book title, ‘Hubris Born of Success’ is so true it’s scary. Many times companies grow too fast and their success many times leads to arrogance and complacency which in turn leads to ignorance. Good employees start to leave becasue they see the lack of leadership and that, along with the ever changing business landscape, begins to eat away at the growth of a company and many times starts the decline of a company.
I have experienced this first hand at a few companies and it is amazing how many people unfortunately do not see what is obvious to others. Not all companies who fall victim to this decline will go away, but they clearly will never grow to the level they once obtained. In my opinion the free market system will take over and entreprenuers will create new companies which many times will surpass previous leaders.
