What makes a business to fail?

[Setho]

Businesses can feel for so many reasons. Some businesses fail because there was a change in the regulatory requirements and some a deep in supply of raw materials.

 

[Ralphjoe]

You already mentioned the most obvious causes. however, I believe competition can also make businesses fail. If you have worthy competition out there and you aren't doing anything to rise above it, it will be only a matter of time before you run out of business. Another factor I think is lack of innovation. When you let people get bored without spicing things up, naturally they may lose interest. Hence promotion is important.

I couldn't agree more with you on the fact that competition contribute to a reason why most businesses failed and I do not seem to understand the reason why it is that way because for me I treasure competition a lot as it will give me an opportunity to improve my product and services.

 

[Ceeny007]

One if the main reason is poor economy as a result of recession,poor service delivery rude customer service and a host of other factors

 

[eLdavis]

I couldn't agree more with you on the fact that competition contribute to a reason why most businesses failed and I do not seem to understand the reason why it is that way because for me I treasure competition a lot as it will give me an opportunity to improve my product and services.

This is actually how it is ment to be but unfortunately not everyone see it this way. Some people get worried when competition comes into the business, instead of it bringing out the best in them, it is the actual opposite.

 

[Ezekiel]

most business owner do not know the purpose of their busines,and also knowing what the customers really need,and also staff well-being

 

[Kaffyfolla]

The business may fail the business owner is not focus and pursue the aims and objectives of the business, achieving this based on the hardworking

 

[Josan]

It's simply poor management that crumbles a business, and the poor management is as a result of a poor plan & strategies...

 

[Kane]

There are various reasons for business failure, for example, high running cost, no sales or little sales, mismanagement, etc. Last but not the least, lack of funds can also be the reason for a business failure.

 

[Abigael]

Poor planning is one of the main reasons why businesses fail. When you don't have a proper plan, challenges arise and you don't know how to deal with them. Poor management is also another reason. When finances or the company's stock is not well managed, it will fail.

 

[Blessedsam60]

So many things could make your business to fail. Like bad team or let's say lack of managerial skill sets could crumble your business.

 

[Ralphjoe]

This is actually how it is ment to be but unfortunately not everyone see it this way. Some people get worried when competition comes into the business, instead of it bringing out the best in them, it is the actual opposite.

It's a shame that people see competition as a stumbling block to their prosperity instead of as a pushing first for them to become a better version of themselves. If everyone can see competition as a pushing force for them to improve on them self then the world will become a better place.

 

[Skysaint]

One of the reasons I do actually think of is treating your business with a reckless abandon. This is common with those who invest huge capital into a business, most do think that the moment you started big it will be a less burden for you

 

[Afeefah]

Lack of dedication and good knowledge about the business. Rivals in a business also compete with each other whether in the quality of their products or the price.

So for any business owner, considering how to overcome such obstacles is a must and that's where a plan comes in.

 

[Immilash]

there are many things that contributes to business failure ,lack of having the adequate preparations also leads to business failure, lack of having the experience of the business can contribute to business failure

 

[Tolumi]

Also one thing that most people overlooked is that some businesses fail as Universe way of teaching the owners how to have a successful business. What I am saying is this, failure is part of a success journey and I have never seen a successful business owner without a failed business, so maybe the universe will make some of your business fail so you could learn.

 

[JoeTom]

The inability to manage the business in different ways, talking about funds, products and services. When these things are not put in order, the rest is the story.

 

[Setho]

So many reasons my contribute to why a business fail. A business might fail because the Lost focus on the original plan or maybe there was a drop in the supply of raw materials from their supply stock.

 

[Solutionav]

Mismanagement of funds, unfair treatment of staff, failing to reinvest in your business, wrong location of business, lack of strategic marketing plan, lack of proper business plan and evaluation. No feasibility study before the start of the business and lack of business knowledge and experience.

I agree with you, lacking all this quality will really affect your business that is why before you think of starting up a business you must be ready in addiction some person lack focus

 

[Shigobad20201]

Well, factors that hinder business growth ranges from: poor management decisions, insufficient marketing, lack of interest from the public in the business offerings and failure to listen to customers.

One of the reasons why a business fails is due to improper and poor managerial skill from the head and the manager of the company, some business also lack poor customer relations skills.

 

[Ghost1]

I see some post about poor management and all that. But there are unforseen circumstances especially when your business is not insured.