Final answer:
Worker errors leading to business failure can stem from poor management, unproductive labor, market shifts, or negative externalities. Shifts in demand and supply can drastically affect business costs and prices. The overall economic system may see business exits as necessary for efficiency and flexibility.
Step-by-step explanation:
Error that arises due to the inability of a worker to properly execute a desired plan of action can be attributed to several factors within a business environment. This could be a result of poor management, lack of productivity, or an inability to adapt to market changes. When demand and supply conditions in the market unpredictably shift, this may cause a rise in input costs or a drop in output prices, leading to potential business failure.
Additionally, challenges in the labor market, such as the inability of resources to move to other markets, can create issues. Many of these problems stem from early design decisions, which could lead to a design that fails to meet customer needs.