Money is a finite resource, so responsible management is crucial to avoid depletion. While some might assume "rich kids" are less hardworking due to being pampered and believing their wealth is limitless, the reasons behind a family's financial decline are often more complex. While it's true many parents strive to leave a legacy and ensure their children's happiness, factors like poor financial management, risky investments, or unforeseen circumstances can lead to wealth loss.
Apart from the good points that you have mentioned that can pull a business down including unforeseen circumstances which may be no direct cause from the owners side, business owners should be able to be easy to diversify and move into another line of business where the mother business is not moving or facing both economic challenges and development challenges also. For example government policies may affect businesses but an owner who is intune with happenings can easily adjust and move on, because at the eve of government policy, some businesses die off.
Some good management move with the trend of business from analogue to digital. Such diversification is good to keep a business moving because having only analogue idea for a business isn't suitable for the modern generation with the technological advancements of the world.