Lack of leadership ‘the main reason for business failure’

Poor market research and lack of genuine leadership are the main reasons for failure among Australia’s small and medium-sized businesses, according to a study by the University of South Australia.

The study collected data from around 650 companies and chief executives about reasons for business failures, finding that 25 per cent gave lack of leadership as the main reason.

It was conducted by the university’s Australian centre for business growth and is the first of its kind to look at reasons for business failure in the country.