Cautionary tales can sometimes seem tiring to hear, as when you’re trying to launch a business, you’re looking for inspiration and not warnings, as you know the risks that come with launching your own enterprise quite intimately already.
That said, there’s real value in learning how businesses larger than yours have made errors, mistakes, or even committed fraudulent behavior in the name of success, and where that’s gotten them. In this post, then, we’ll discuss three fabled cautionary tales for your expanding business, not only as a point of interest but to showcase how even well-meaning enterprises can fall to issues that eventually cause their bankruptcy.
This can only be healthy for your managerial mind. If you’re opening a business, it’s helpful to know why 60% of new eateries in your area have failed within the first two years, even if that’s not a pleasant set of stories to listen to.
Without further ado, let’s dive into the fabled stories and learn a lesson from each:
The Deception Of Volkswagen Defeat Devices
In the mid-2010’s, Volkswagen was found to be installing defeat devices in its “clean diesel” TDI engines to fudge emission testing. This was an effective lie and caused irreparable damage to the brand. It’s important to note that any market result must be achieved through diligent work and care, and that “working smarter” does not mean cutting corners. Keep this in mind when submitting your vehicles for HGV brake tester examinations, or developing an ethical approach towards your competitive approaches. Remember, it’s best to be third place playing fairly than it is to be first place stood atop a house of cards.
The Lacking Innovation Of Blackberry Vs Apple’s iPhone
Blackberry’s CEO was once quoted as saying he didn’t feel as though the iPhone and its app system would pose a threat to their market dominance because he believed anything someone could do on their phone, they could also do through the web browser. How wrong that assumption was. This isn’t to say you should only ever innovate at the cutting edge of your industry, rather it’s important to keep up with the tides of the market and to never dismiss them outright. If you can ensure you take that approach, you ensure mature respect for the market and move with it appropriately.
The Ethical Constraints Of Shein Fashion
Shein fashion is known for its approach to “fast fashion,” but it has been alleged that in pursuit of this goal, many sweat-shop-style production houses have been used to develop products of questionable quality. It’s important to note that any ethical blurred lines will be found sooner or later, and in the era of conscious consumerism, this is absolutely something to plan for. That’s not to say your brand would get away with whatever it could, but some firms do, and it’s best to stand in opposition to those and enact your own demonstrated virtues.
With this advice, you’ll be sure to avoid issues using past business case studies to guide you.
