Abstract:
This paper focuses on the investigation of business failure. We believe that business failure is a process. We have set two objectives. We want to detect different processes of failure in the study sample, as already has been done in previous papers. The second objective is to describe the relation between process failure that follow bankrupt companies and its final and irreversible situation. This final situation can be one of the following: to be declared insolvent or dissolution. In conclusion, on the one hand, we observed that the variables selected permit us to distinguish between different failure processes and, on the other hand, it is found that there is no relation between the failure process and the organizations final situations.
