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Common Reasons Why Some Investments Lose Money


angle
Rep Points: 230
1 Consumers don't buy the company's products or services. It doesn't matter if they have great products. If they're not marketed well or they cost too much, sales will suffer.

2 The company can't compete effectively in its industry.

3 The officers of the company mismanage the business, perhaps by fraud or by failing to follow a budget, and their costs exceed their income.

4 The stock doesn't appeal to other investors, so when you sell it, buyers are unwilling to buy it at the price you paid for it.

jaobedoza
Rep Points: 220
i think the proper title for this thread is "Common reasons why some companies lose money"

dovic1
Rep Points: 510
Sometimes you have to look at location. I have seem company after company buy or lease the same property in a small amount of time. I have even seen people outside in costume trying to get people to come in to buy. but because of where they sit the people won't go. Maybe the corner of a busy intersection where there is not adequate parking.

cgirl
Rep Points: 150
Another reason why companies lose money is, its lacks on business planning and investigation. Young generation nowadays are more eager to invest money on latest craze business and earn big money instantly.

usualdamvp
Rep Points: 800
Alot of reasons why companies fall is because of not being able to adjust with the times..

nekaguy
Rep Points: 270
Its all depends on the time and what kind of products are been manufactured. The main reason because, many duplicate products are been selled among the original products with some cheaper price. So the standard of the company products are been misused and the rates to become much cheaper.