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1-Why do large companies like IBM find it so difficult to create new business? What are the primary barriers to success?
Nowadays, a company to grow up has to start new businesses, and this is a difficult point for them. Normally it is not for economic reasons but for cultural reasons (HBR Garvin 2004). Generally between 50% and 60% of the new businesses fail in their first six years. The principle problems when starting a new business are the following:
Normally big companies seem to be very enthusiastic to develop a new business, but not all the initial ideas become successes. In any case managers should know that current products and technology get obsolete. Therefore, they must focus on new opportunities and not only involved in core businesses (HBR Garvin 2004).
As the article “Emerging business opportunities at IBM” says, big companies use to have a very complex structure that means that the company is divided into several business units. These units are based in......
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Title: Case Ibm
Approximate Word Count: 2350
Approximate Pages: 10 (250 words per double-spaced page)
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