What was the primary cause of demise for such companies as Enron, Dave & Barry's, and Circuit City?
A) poor management
B) difficult economic conditions
C) corruption
D) governmental regulation
Answer: A
Explanation: Difficult economic conditions may have contributed to the failure of the companies listed, but many of their competitors faced the same challenge and did not go bankrupt. There is no evidence that corruption had undue influence on any of these failed enterprises. Regulation was also not a likely cause of their problems since again, competitors somehow managed to survive and even flourish under the same or similar circumstances. This leaves poor management as the primary cause of the failure of each company.
Business