Sharpbender

Type of Turnaround Strategy. Companies experiencing recovery exhibit 4 types of Sharpbender 1. Early Recovery - Frm anticipates decline and never reaches minimum level of performance 2. Intermediate - Takes action to recover to MLP but ony taces symtoms and not causes and declines again M&S 3. Firm C reacts late and is on brink of disaster - takes drastic action and sustained recovery is achieved - IBM / Apple 4. Firm D - never perceives threat of extinction and fails. BCCI

Reasons for decline include 1. Poor management 2. Inadequate financial controls- WorldCom 3. New Competition - IBM 4. Structural changes in the market - Blockbuster 5. Over expanasion - Marconi