There is an article over on network world covering how it has been 10 years since the top of the dot-com bubble when the NASDAQ reached 5,133. This was an interesting time for me as I was working in the states with a big tech company, boring chip design. However you would get calls from friends or friends of friends suggesting you might want to invest in this new startup that is going IPO, wink wink. It was all crazy, pets.com, garden.com, flooz, well at least Whoopi Goldberg career survived that one. Here are a few reasons why they thought the bubble could go on forever :
- It’s okay to sell products for less than what they cost you, because that will bring you lots of customers.
- Internet-based companies are immune to economic cycles.
- Internet companies can’t spend too much on advertising.
- Internet companies that carry no inventory are infinitely profitable.
Surely we can’t be that stupid to do it all over again….