Why does the code not work in PHP 5 and what changes need to be made to make it compatible?

The code does not work in PHP 5 because the use of the `[]` shorthand array syntax for defining arrays was introduced in PHP 5.4. To make the code compatible with PHP 5, you need to replace the shorthand array syntax with the `array()` function to define arrays.

// Original code
$colors = ['red', 'green', 'blue'];

// Updated code for PHP 5 compatibility
$colors = array('red', 'green', 'blue');