It’s tempting to stay with a familiar strategy, particularly if it has served you well. However, reluctance to stray from old practices can spell disaster.
General Motors, once flush and powerful, is now in grave danger because it refused opportunities to evolve. Rick Wagoner, its chairman and CEO, has long clung to the successful models of the past.
“We’re playing our own game—taking advantage of our own unique heritage and strengths,” he says, even as the company faces bankruptcy.
Lesson: Don’t let your enterprise die of inertia.
— Adapted from “GM and Me,” Alex Taylor III, Fortune.