Abstract:
In the past, researchers have often defined failure to suit their data. This has led to a lack of comparability in
research outputs. The overriding objective of this paper is to propose a universal definition for the failure
phenomenon. Clear definitions are a prerequisite for exploring major constructs, their relationship to failure
and the context and processes involved. The study reports on the core definitions of the failure phenomenon
and identifies core criteria for distinguishing between them. It places decline, failure and turnaround in
perspective and highlights level of distress and turnaround as key moderating elements. It distinguishes the
failure phenomenon from controversial synonyms such as closure, accidental bankruptcy and closure for
alternative motives.
