Emperor Franz Joseph I was an outdated and ineffective ruler. He was reluctant to relinquish any power to his ministers and was unwilling to make the necessary concessions to keep the empire together. His stubbornness and autocratic rule alienated many of his subjects and contributed to the empire's collapse.
Growing nationalism
The Austro-Hungarian Empire was a multiethnic empire, and as the 19th century progressed, nationalism grew among its various ethnic groups. The Hungarians, Slovaks, Romanians, and other nationalities all began demanding more autonomy or even independence from the empire. This growing nationalism undermined the empire's unity and contributed to its eventual collapse.
Economic problems
The Austro-Hungarian Empire faced many economic problems in the early 20th century. The empire's economy was largely agrarian, and it struggled to keep pace with the industrialized nations of Europe. Industrialization was slow, and the empire's economy was dependent on foreign loans and investment. This made the empire vulnerable to economic crises, and the outbreak of World War I in 1914 caused a severe economic crisis that further weakened the empire.
The Great War
The Austro-Hungarian Empire's participation in World War I was the final straw. The war put a massive strain on the empire's resources, and the empire suffered heavy casualties. The war also exacerbated the empire's economic problems and contributed to the growth of nationalism. The empire was unable to withstand the pressures of the war and collapsed in 1918.