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Jim Collins' study of highly successful companies that subsequently failed indicated that these firms went through a five-stage process toward failure. What is the first stage of the process?

a. Complacency
b. Hubris born of success
c. Denial of risk and peril
d. Grasping for salvation

User Meesern
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Final answer:

The first stage of the process toward failure for highly successful companies, identified by Jim Collins' study, is hubris born of success. This stage is characterized by the overconfidence and arrogance that can accompany periods of considerable success.

Step-by-step explanation:

Jim Collins' study of highly successful companies that subsequently failed revealed a five-stage process these firms went through on their path to failure. The first stage of this process is b. Hubris born of success. This stage refers to the overconfidence and arrogance companies develop when they have been successful. After achieving high levels of success, companies can become complacent, believing that their success is guaranteed and losing sight of the competitive and dynamic nature of the business environment.

User Paolo Dragone
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