Explain how inertia gets in the way of proactive change.
What will be an ideal response?
Proactive change can be harder than reactive change. This is because when firms become successful, they can develop inertia or resistance to change. Successful firms develop skills, systems, processes and cultures that enable them to become more efficient over time, and successful. When successful, people see less need for change and are more reluctant to change the formula that has made them successful. In other words, in this situation, people do not see any compelling reason to change, so there is less incentive or motivation to change here.
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What will be an ideal response?
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