Define Business failures
Business failure is a situation where a company or organization is unable to continue operating due to financial, managerial, or other reasons. Business failure can take different forms, such as bankruptcy, closure, or a merger with another company. In general, business failure is characterized by an inability to generate enough revenue to cover costs, or by poor management decisions that result in losses or liabilities that the company cannot sustain.
Business failure can be caused by various factors, including inadequate planning, poor financial management, lack of market research, insufficient marketing, failure to adapt to changing market conditions, and other internal or external factors. The consequences of business failure can be severe, not only for the business owners and employees but also for customers, suppliers, and other stakeholders.