10 Brands to Disappear in 2013

Bangalore: 10 important brands are predicted to disappear within a year. 24/7 Wall St. has come up with a list that mirrors the viciously cut-throat nature of certain industries and the reason why companies cannot afford to fall behind in efficiency, innovation or financing.

These brands will face extinction due to reasons like a rapid fall-off in sales and steep losses, disclosures by the parent of the brand that it might go out of business, rapidly rising costs that are extremely unlikely to be recouped through higher prices, companies that are sold, companies that go into bankruptcy, companies that have lost the great majority of their customers or operations with rapidly withering market share. Listed below are 10 brands that we will not in the year 20123.

Research In Motion

Research In Motion can be the best example of a pioneering company that lost its sheen. As a result, it will fade away in 2013. Five years back, RIM was the only Smartphone company of any size, and it had almost the entire corporate market. But it made a grave mistake in failing to adapt its technology for consumer use. In June 2007, Apple launched the iPhone, and the rest is history. RIM’s BlackBerry products were enormously used by businesses. It would be of no worth to repeat again how RIM was late to the consumer market, where it has been crushed persistently by Apple and an army of Google Android phones from manufacturers like Taiwan’s HTC, South Korea’s Samsung and Motorola in the U.S. As company fell apart, it was even more extraordinary than its rise. Revenue and net income jumped from $6 billion and $1.3 billion, respectively, in fiscal 2008 to $20 billion and $3.4 billion in fiscal 2011.The best way to measure the quickness of RIM’s fall is the change of its share of the U.S. Smartphone market. Research group NPD recently reported that RIM’s U.S. market share was 44 percent in 2009 but only 10 percent last year. Data from research group Comscore shows that share has fallen further this year. The net effect on RIM’s stock price has been shocking, taking it down from $144 four years ago to $11 recently. RIM cannot survive as a individual business in the face of these trends.