Even companies that have been known as top leaders in their industry, have a chance to fall prey to a recession. As technology changes, some companies no longer have the stronghold that they once did and start to lose revenue. After a long string of losses, a New Jersey company may turn to Chapter 11 in an effort to reorganize and become more attractive to a suitable buyer.
RadioShack, once an electronics retail giant, has been enduring consistent quarterly losses since 2012. With technology changes, fierce competition and online shopping to deal with, the company's sales drastically dropped. The company reported in a regulatory finding that, without some sort of outside help, it would be unable to continue to pay to stay in business much longer.