Once a "Giant," Borders Became a Weakling on Its Knees

At one time Borders was the largest bookseller in the world. However, in February, 2011, Borders declared bankruptcy. The case drives home the point that a company's past success guarantees it nothing when key conditions in its environment change. Competition from big box retailers, evolving information technologies, changes in the ways consumers acquire content, and the ongoing consumer quest for convenience have all chipped away at Borders' old sources of competitive advantage.

The case lays the groundwork for the importance of strategy the coordinated set of commitments and actions designed to achieve competitive advantage.

1. How should Borders have responded to the many environmental changes that it was

experiencing?

2. How could effective leadership have kept Borders in the black?