Introduction
The boiled frog phenomena refers to a business metaphor that states, when a frog is placed in a pot of water that is boiling, it will instantly jump out of the pot. On the other hand, if the same frog is placed in a pot containing tepid water and the temperature gradually increased, the frog will not recognize the changes and will allow itself to be boiled to death (Bhatta,2006).
Application of boiled frog phenomenon to business and strategic management
In strategic management, it explains the character traits of business organizations. It tacitly describes the behavior of business administrators as well as managers to hold back from implementing changes in order to address the gradual changes in risks as well as challenges within their business spheres. Like the boiling frog, these managers prefer to dwell within their zones of comfort while neglecting the changes unless strongly compelled to. This slow reaction to changes within the business environment ultimately leads to the downfall of the business (Coulter,2002).
Business example where the boiled frog phenomenon has occurred
A case study of this phenomenon was the fall of Enron, an energy company based in America. In the 1990’s, the company was presented by several plans for its different products. Each of these required major financial boosts. Coincidentally, it was at the same time that the company was marred by numerous international issues . despite knowledge of all these hurdles, the management did not do anything up until the company was failing(Siddiqui & Khwaja,2008).
What could the business have done to avoid the effects of the phenomenon.
REFERENCES
Bhatta, G. (2006). International Dictionary Of Public Management And Governance: M.E. Sharpe.
Coulter, M. K. (2002). Strategic management in action: Prentice Hall.
Siddiqui, M., & Khwaja, R. (2008). The Acrobatics of Change: Concepts, Techniques, Strategies and Execution: SAGE Publications.
