How The Mighty Fall: And Why Some Companies Never Give In

Decline can be avoided.

Decline can be detected.

Decline can be reversed.

Amidst the desolate landscape of fallen great companies, Jim Collins began to wonder: How do the mighty fall? Can decline be detected early and avoided? How far can a company fall before the path toward doom becomes inevitable and unshakable? How can companies reverse course?

In How the Mighty Fall, Collins confronts these questions, offering leaders the well-founded hope that they can learn how to stave off decline and, if they find themselves falling, reverse their course. Collins' research project--more than four years in duration--uncovered five step-wise stages of decline:

Stage 1: Hubris Born of Success

Stage 2: Undisciplined Pursuit of More

Stage 3: Denial of Risk and Peril

Stage 4: Grasping for Salvation

Stage 5: Capitulation to Irrelevance or Death

By understanding these stages of decline, leaders can substantially reduce their chances of falling all the way to the bottom.

Great companies can stumble, badly, and recover.

Every institution, no matter how great, is vulnerable to decline. There is no law of nature that the most powerful will inevitably remain at the top. Anyone can fall and most eventually do. But, as Collins' research emphasizes, some companies do indeed recover--in some cases, coming back even stronger--even after having crashed into the depths of Stage 4.

Decline, it turns out, is largely self-inflicted, and the path to recovery lies largely within our own hands. We are not imprisoned by our circumstances, our history, or even our staggering defeats along the way. As long as we never get entirely knocked out of the game, hope always remains. The mighty can fall, but they can often rise again. more

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Recent Reviews

4/5: From: Amazon; Posted: Aug-11-2009; There are no silver bullets; The Good to Great author has done it again He explains that this was a much harder task than finding the commonalities for Good to Great. He has done a good job. He shows there are five stages of decline, 1. Hubris born of success....; read full review | report as inappropriate

4/5: From: Amazon; Posted: Aug-10-2009; Collins Adjusts Some of His Theories; Collins wrote a very interesting book in his best seller Good to Great, but it fell victim to the same fallacy as In Search of Excellence--a third of these companies have failed and in a very short time. Fannie Mae, Circuit City, and...; read full review | report as inappropriate

3/5: From: Amazon; Posted: Aug-10-2009; Good book, but content is a bit light.; I have always secretly enjoyed books about 'great companies' because of the inevitably that one of the featured companies will crash and burn in the ensuing years. This book revisits some of them, but I think the criteria were too...; read full review | report as inappropriate

2/5: From: Amazon; Posted: Aug-08-2009; Not bad, but so very thin (120 pages) and hurried, begs the question - WHY?; Not too bad a book. But... has a sort of hurried feel to it. Too thin, and the style is too reminiscent of "Good To Great", but without the details of the former. Almost like a movie trailer trying to pass as the movie itself. 120 pages...; read full review | report as inappropriate

Selected Reviews

4/5: From: Amazon; Posted: Aug-11-2009; There are no silver bullets; The Good to Great author has done it again He explains that this was a much harder task than finding the commonalities for Good to Great. He has done a good job. He shows there are five stages of decline, 1. Hubris born of success....; read full review | report as inappropriate

3/5: From: Amazon; Posted: Aug-10-2009; Good book, but content is a bit light.; I have always secretly enjoyed books about 'great companies' because of the inevitably that one of the featured companies will crash and burn in the ensuing years. This book revisits some of them, but I think the criteria were too...; read full review | report as inappropriate

2/5: From: Amazon; Posted: Aug-08-2009; Not bad, but so very thin (120 pages) and hurried, begs the question - WHY?; Not too bad a book. But... has a sort of hurried feel to it. Too thin, and the style is too reminiscent of "Good To Great", but without the details of the former. Almost like a movie trailer trying to pass as the movie itself. 120 pages...; read full review | report as inappropriate