To Close or Not to Close Shop?

Question

I have been in customize sports apparel business for 24 years now trying to build a company in the Philippines that can evolve into such great companies like Adidas and Nike. With a very modest beginning, we are doing almost a million dollars annually but this past five years we have been on the red. I'm thinking of giving up because I can't seem to form a management team to move the company forward to next level. My key personnel, which I've trained for so many years, I realized now seemed incapable of meeting the call of challenge -- the opportunities that have come and passed away. If not for these people I care and the many workers depending on the company, I would have closed five years ago. I'm losing confidence to regroup and form the management team needed to carry on with our recovery plan. I've been getting a lot of advises and I just thought of asking from yahoo! Answers community what else can be done.

Answer 1

1. change (ie fire) the current personnel who are unable to meet the challenge. restructure company.
2. change objective. ie customizing apparel -> manufacturing apparel for Nike etc.
3. change marketing approach. ie more youth-orientation
4. change or reengineer your manufacturing approach to become more cost efficient
5. hire external consultants to do all this (seriously)
6. sell off the business

* you will encounter resistance with implementation. you have to find out why you're losing money. is it because the supply is more than demand? or is running the company too expensive? don't declare bankruptcy. it's an easy way out but the restrictions will strangle you in the end. God bless! ;)

Answer 2

Have you considered selling your business instead of closing it? If you have built up a customer base, you may be able to find some larger corporation with the management capabilities needed to pull your business out of the red.

Answer 3

Sorry, you lost me on the second sentence. Geeze, I better go to bed.

Gnite