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WHY DO BUSINESSES FAIL?
Why did Zavvi and Woolworths
Fail?
Why do businesses fail?
What other reasons can you
identify for business failure?
Business Failure
 Changes in Demand:
 Falling Income levels
 Changing tastes and preferences
 Fashion
 Advertising
 Competition
Business Failure – Losing
Competitiveness
 The Marketing Mix
 Managing Cash Flow – more later
 Productivity – definition?
 Why might a company experience problems with
their productivity?
 How might problems be resolved?
Activity
 Answer OverToYou questions on P35

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Why do businesses fail