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Reasons for Organizational Decline & Steps to Prevent

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Why do organizations decline? What steps can organizational leaders take to halt decline and restore organizational growth?

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This solution discusses reasons organizations decline and steps organizational leaders can take to halt decline and restore organizational growth. APA reference is included.

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Organizations decline for many reasons: it may be the result of a changing economy, culture, or failure of the organization to adapt to these changes. In startups, organizations may fail due to the lack of a formal structure to provide stability, inadequate funding, or perhaps, underdeveloped ideas. Organizations may decline from inertia as a result of risk aversion, or an overly bureaucratic culture. An example of this might be the ability to see a change ...

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