Organizational Inertia and the Failure of Established Firms

Organizational Inertia and the Failure of Established Firms

Organizational inertia can be described as: Resistance to change This often leads to failure because of The environmental dynamics, Customer Preferences Com etition, Change in technology, !trategy and "usiness #odels Em loyees inability to ada t to ne$ $or%ing methods &o$ res onse to any "&'C( !)'* E+E*T #ar%et demand in *e$ ,eogra hies-eg Emerging Economies

In Reality.
Organizational strategy and structure are not static. "ut rather are dynamic/ ' tightly-cou led and coherent activity system that $or%s $ell in a static environment may be sub0ect to roblems of inertia in a dynamic environment1