Turnaround Process: Conditions and Strategies for a Successful Turnaround ofFirms

摘要

The main goals of the study were to identify and to evaluate the conditions andstrategies necessary for a firm to undergo a successful turnaround. The turnaround process was divided into a downturn phase, triggers for a turnaround decision, and a turnaround phase. In order to achieve a deep understanding of the complex interaction and relationships between critical parameters in the turnaround process, case methodology was used as the main research method. The study had three stages. First, a pilot study including three firms was conducted. The second phase included a longitudinal study of the turnaround process in six firms. The study was conducted by interviewing decision makers and studying the companies' internal and public records. From the study, 12 hypotheses were formulated. The third phase included a verification of these hypotheses.