The Longevity of Large Enterprises: A Study of the Factors That Sustain Enterprises over an Extended Period of Time
- The Journal of Developing Areas
- Tennessee State University College of Business
- Volume 49, Number 5, 2015 (Special Issue)
- pp. 41-52
- View Citation
- Additional Information
The high mortality of companies has been a common trend especially following major economic events such as the 2008 global finance crisis. Many companies such as Lehman Brothers were seemingly performing companies until their abrupt collapse which left the business world shocked. Many organisations currently are strategizing towards sustainability and ultimately longevity. However, not many companies have managed to survive for at least a century and remain relevant in the current market. The study therefore focuses on creating a framework which illustrates the main factors that are an imperative for any company to survive for a long period of time. The framework includes; five main factors which are responsible for organisational longevity, i.e. Resources, Innovative Capability, Organisational Culture, Organisational systems and Strategy. Framework proposed can be applied within large scale business enterprises that have to bear the brunt in the wake of recession. Maintenance of all the factors promoted longevity among organisations.