Stivison — Are the Barbarians at the Gates?

In many cases, the problem is not lack of sales. Generally, sales are up. Could the problem be as simple as unrealistic expectations? Could it be that the profit projections based on assumptions of new critical mass, economies of scale and new technologies were simply unrealistically optimistic? Could it be that if a few major competitors all go on an acquisition spree—or all adopt new technology—at the same time, that no single firm leapfrogs the competitors? Could it be that all the process redesign and new technology have only bought a new, albeit higher, level of competitive parity?