[ The Money Side of Lifeā„¢ ]

Failure To Adapt: 10 companies that went the way of the dinosaurs

By Margo Pecha on October 31st, 2014 •

Dinosaurs aren't the only ones who didn't adapt. These companies' mistakes are proof that getting stuck in the old ways comes with a cost.

  1. The American Suzuki Motor Corporation. The company filed for bankruptcy after failing to adapt its branding. Its too-small cars didn't fit the large-and-in-charge American lifestyle.
  2. Eastman Kodak Co. Kodak didn't embrace the consumer trend from film to digital, and the company once worth $31 billion filed for bankruptcy in 2012.
  3. Juicy Couture. Not expanding a clothing line beyond velour track suits and garish logos is one way to ensure all its U.S. stores close. Just saying...
  4. Blackberry. Failure to adapt quickly enough to changing tech and consumer taste with the rise of iPhones and Android-based smartphones led to BlackBerry's demise. Once at the helm of the smartphone industry, BlackBerry's market share is now only about 3%.
  5. F.W. Woolworth Company. Consumers found Wool- worth's to be increasingly unfashionable stores, and, well, the store just didn't change. It closed its U.S. stores in 1997.
  6. JNCO Jeans. The shift to tighter-fitting jeans and JNCO's failure to snug up led to its failure in 2000, much to the dismay of every hip '90s kid.
  7. Groupon. It hasn't adapted its business model to fit merchants' needs. Groupon takes a large cut of income generated before paying its merchants in an untimely manner, which causes partner businesses to struggle and take out loans to stay afloat. Its stock originally sold at $26 per share but is now selling around $6 per share.
  8. Blockbuster. The company announced it would be closing its mail and retail store distribution centers in 2014 after failing to adapt to the shift toward streaming and kiosk rentals, focusing instead on impulse snack and toy purchases.
  9. Borders. The book megastore pioneer was slow to adapt to digital and online bookselling, outsourcing its website to Amazon rather than putting its own stake in the ground. Borders relaunched its website in 2008, but it was too late; it was just too far behind in the digital book era.
  10. Martha Stewart Living Omnimedia. Largely based on selling premium ads against her TV and print lifestyle advice, Martha's empire struggled as free online content took hold, and MSLO has hemorrhaged $1 billion in value since 2005.

Sources: nytimes.com; forbes.com; businessinsider.com; huffingtonpost.com; comscore.com; nymag.com; theglobeandmail.com; time.com; reuters.com; triviahappy.com; google.com/finance; wsj.com; theguardian.com; businessweek.com