Analyze Business Failure Essay

961 WordsMar 27, 20094 Pages
Running head: Corporate Failure Study of WorldCom and Corporate Failure LDR/531 University of Phoenix Abstract This essay is a study of the failure of the WorldCom Corporation. It seeks to provide the reader with a brief historical overview of the company itself and then examines the culture and policies which contributed to its eventual failure. Additionally it will investigate what aspects of Organizational Theory relate to the collapse of the company. . Study of WorldCom and Corporate Failure This essay is a study of the failure of the WorldCom Corporation. It seeks to provide the reader with a brief historical overview of the company itself and then examines the culture and policies which contributed to its eventual failure. Additionally it will investigate what aspects of Organizational Theory relate to the collapse of the company. WorldCom made its start in the telecommunication industry. It began as a little known long distance phone service provider. Over the course of a short period of time, through aggressive acquisitions of numerous smaller providers, WorldCom eventually grew into the second largest service provider of its time. According to the corporate website, at their peak the company Provided mission-critical communications services for tens of thousands of businesses around the world Carried more international voice traffic than any other company Carried a significant amount of the world's Internet traffic Owned and operated a global IP (Internet Protocol) backbone that provided connectivity in more than 2,600 cities and in more than 100 countries Owned and operated 75 data centers on five continents. [Data centers provide hosting and allocation services to businesses for their mission-critical business computer applications.] (Moberg & Romar, 2009) All total WorldCom achieved this status through the

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