If a new firm enters with a new way of doing business, there can be problems with them changing demand patterns. This means the older firms will have to restructure to accommodate the change. There can also be problems with changes in technology that will force the other firms to catch up. A Company can also have a problem if their market share is decreasing. This can be the cause of more competition or even a shift in demand.
Firms can also see ethical problems as a real danger.
This problem can involve anything from falsification of financial documents to internal theft to drug use. If a firm falsifies their financial documents they can see a backlash from the public when that error is uncovered. This could cause the whole organization to collapse due to a lack of trust by investors. Another problem that will affect the company is internal theft. Even if the company is highly profitable ethical problems can seriously hurt the company if they are discovered and put fault on the firm.