Big companies failing is nothing new.
They’re all dependent on market forces and suffer from a lack of demand and revenue, which leads to staff cuts, stock falling, and ultimately, collapse.
Innovation has become an essential part of a corporation’s survival and a startup’s establishment.
The future, as always, is highly uncertain for corporations, but here are some companies that could face a tricky few years.
For many years, the brand has been associated with sexy female undergarments.
The company made its creative attempt that led them to raise awareness by using and focusing on two norms – the annual Victoria’s Secret fashion show and the feminine and world-famous angels.
They indeed flourished in making sure they were not forgotten, but with time, trends change.
But its argued by only using younger models, they won’t stay on top for long.
Sales are dropping, and significant investors are demanding that the company should close its stores and focus on performance instead.
Whether the company chooses to work on the performance or not, customers won’t be convinced to return to the lavish lingerie unless they see something different that is worth trying.
It might have been an innovator, but to persist as a leader, you need to continue to adjust to the market and innovate constantly.
Apart from the features, such as profile verification, the option of adding emojis to your account, or a broader range of characters to tweet, there’s not much innovation going on at Twitter.
It has competition from the likes of Facebook and Instagram, which are adding new features to their platforms on a regular basis, so it isn’t easy to shine brighter.
New people are continuing to join the network, but the numbers each year are not sufficiently rising.
The danger is the audience becomes unengaged, which means the social media channel will lose popularity.
This could mean this will lead to more than having to let go of staff, a drop in stock value, and unsuccessful sales attempts.
With the absence of innovation and not being able to attract new users the same way its competitors are, it’s possible the platform will come to an end.
It seems unlikely Twitter won’t exist in a decade, but stranger things have happened.
Subway cares a lot less about blowing away its customers and more about allowing them to have the independence of creating the sandwich they want.
From some aspects, aside from some spectacular combinations, it seems like there’s not much room for innovation.
If you take Gamification as an example: Starbucks presented a rewards system in which it collects points with every purchase you make, offering customers advantages at later dates.
Subway closed over 900 stores around the world in 2017 as a consequence of poor publicity related to Subway’s spokesperson, Jared Fogle, who was convicted of child sex abuse and jailed for more than 15 years.
There are many predictions that the number of store closures will increase for Subway.
If Subway doesn’t wish to change what it offers, there’s still an opportunity to start doing it in a unique way, which can be a big game-changer for the company.
It clearly has a product a lot of people like, but whether that remains the case over the next 10 years remains to be seen.
Uber’s existence has been eventful since its inception.
Like with any industry, the landscape changes at a quick pace.
It has faced many struggles, mainly due to security reasons and country legislation banning the app.
Uber is based around a shared economy, giving customers more affordable and convenient rides than taxis.
This movement has become one of the most notable examples of disruptive innovation and how to evolve as a fast-growing business.
However, having such a successful business model does not mean that there aren’t any disadvantages.
The most significant, in this case, is companies trying to replicate its concept.
CEO of Nihon Kotsu Co, Ichiro Kawanabe, says to use Uber as a benchmark of what not to do, rather than copying them.
“We can’t do it straight away, but in three to five years, we’d like to surpass what Uber offers….”
There is competition across-the-board for Uber’s spot at the top, and companies are striking from every direction.
Nowadays, an innovative idea isn’t sufficient enough: what you need is a persistent effort in innovation and building up what you already have.
One of the more bizarre fashion trends of recent years were the highly divisive Crocs.
A few years ago, you’d see these shoes everywhere.
Some individuals definitely questioned the fashion choices of those people who wore crocs, and others respected the business-savvy company.
However, the company counted solely on this brief trend and was happy for the massive amounts sold but, unfortunately, didn’t take it further when they could have.
Not only did the stock price fall more than it has risen in recent years, but the company closed 158 stores by the end of 2018.
The president, Andrew Rees, refuses to accept that as a failure but explains it as “removing unnecessary complexity from our business.”
Another factor of its strategies is reducing operating costs and narrowing the variety of products they offer.
The future doesn’t seem bright for the brand, butit could be the case it comes up with another fashion concept that makes millions.
This tech giant is one of the biggest and richest companies on the planet.
It seems inconcievable Bill Gates’ company could massively fail, but it does have a few issues it needs to overcome – particularly with its hardware.
Microsoft has innovated, but critics say there was no in-between; it was too much, or it skipped a step and didn’t warn users of what changes were made.
The business has been playing catch up, offering new products which have been deemed overly-complicated for customers.
The wide range of products and services that Microsoft has created, such as Microsoft Office or user interface, Windows, will keep the company from dying.
However, it’s the hardware products that are seen as a problem.
Experts argue it doesn’t begin making innovative and dynamic devices that will differentiate the company from its competitors, they risk losing a big chunk of its market share.