In-Class Entrepreneurship Failure Analysis Activity

In this activity, you will analyze a failed company, identify the key reasons for its downfall, and propose solutions to address the company’s biggest problem. This exercise will help you better understand the challenges of entrepreneurship and how to become successful if you so choose to pursue this career.

Why This Matters for Your Career in Entrepreneurship:

Many of you aspire to start your own businesses or join the world of entrepreneurship after graduation. While creating a startup can be exciting and rewarding, it comes with significant challenges that require strategic planning, adaptability, and a deep understanding of market dynamics. This exercise will help you gain insight into what it really takes to launch and sustain a successful venture.

Instructions:

1. Choose One Company to Analyze:
2. Pick one of the following companies to research and analyze:

• Theranos
• Blockbuster
• WeWork
• Fyre Festival
• Quibi
• Pets.com
• Myspace
• Kodak
• Segway
• Beepi

1. Research & Analysis:
2. Use online sources, case studies, articles, and AI tools (like ChatGPT or other AI assistants) to gather information about the companys history, rise, and eventual failure. Once you have sufficient background, analyze the company’s downfall based on the following criteria:

• Market Research & Customer Needs: Did the company understand its customers and market?
• Product-Market Fit: Was there genuine demand for the product/service?
• Business Model: Was the company financially sustainable?
• Leadership & Decision-Making: Were strategic decisions made wisely?
• Innovation & Adaptability: Did the company innovate and adapt to changes in the market?
• Marketing & Branding: How effectively did they communicate their value?
• Execution & Operations: Were their day-to-day operations and scaling managed well?

1. Use AI tools like ChatGPT to quickly gather insights about the company’s history and key mistakes. Critically assess this information to build your analysis.
2. Identify the Biggest Cause of the Downfall:
3. Based on your research and analysis, determine what you believe to be the biggest cause of the companys downfall. This should be the key issue that, if solved, could have significantly improved the company’s chances of success.
4. Propose Three Solutions:
5. Come up with three potential solutions to address the biggest problem youve identified. Be creative but realistic! Consider the company’s resources, market conditions, and other factors relevant at the time of their failure.
6. Choose and Prioritize One Solution:
7. From your three proposed solutions, choose the one that you believe would have been the most effective in turning the company around. Be ready to explain:

• Why you chose this solution over the others.
• How it could have been implemented to help the company succeed.

Deliverables:

Submit your analysis through the course platform, which should include the following:

1. Overview of the companys history and its rise to prominence.
2. The biggest cause of the companys downfall based on your analysis.
3. Three proposed solutions that could have addressed this problem.
4. The one solution you prioritized, with an explanation of:

• Why it was chosen over the others.
• How you would implement it to save the company.

Tips for Success:

• Leverage AI tools like ChatGPT to quickly gather and synthesize information about the company. Ask questions about its history, business model, and reasons for failure to get a comprehensive overview.
• Ensure that your solutions are practical and supported by evidence from your research.
• Think critically: Dont just focus on what went wrongconsider what could have been done differently at key moments in the companys history.

Submit your deliverables below. Submit your overview, the cause of the downfall, the three recommendations, and the one you prioritized and why. This is pass/fail, so make sure to include all of what’s asked for full points.

Question at position 1

1

Essay

10 points

Question at position 1

Submit your company’s overview, the cause of the downfall, the three recommendations, and the one you prioritized and why.

This is pass/fail, so make sure to include all of what’s asked for full points.