Imagine an elastic band. It will stretch whichever way you pull it and adapt to that shape. In business, having this trait means that your business is an adaptive firm. It means the business will change and grow according to market conditions and the environment, positioning themselves for profit and increasing their survival chances.
For example…
Take cell phone manufacturer Nokia. Did you know that they started off as a pulp and paper manufacturer in the 1800s? They ventured into power generation in the 1900s and then into telephones, plastics, computers and other electronic gadgets. Nokia is an example of an adaptive firm because they saw where change was taking place in the market, the consumer demand and trends and responded by developing and enhancing their products and services.
