Over reliance can lead to a range of issues that can jeopardize the stability and growth of a business. These problems include:
Financial Instability: If a business relies heavily on one customer for the majority of its revenue, the loss of that customer can lead to a significant financial shortfall. Operational Risks: Dependence on a single supplier can result in production halts if the supplier faces difficulties. Loss of Market Position: Over reliance on a specific technology can make a company vulnerable to technological obsolescence or disruptions. Human Resource Risks: Relying too much on a key employee can be risky if that individual leaves the company.