It seems like, throughout history, there are tremendous periods of growth followed by periods of drought. For proof of this, one needn't look any further than the American event known as the dotcom crash, which started in the mid-90s and lasted up to the early aughts. What, exactly, is the dotcom crash, and why is it remembered to this day? Here are a few questions about the event in question that the likes of Robert Jain can answer.
"I'm not familiar with the dotcom crash; what was it?" Essentially, the dotcom crashed occurred in 1995, which was when the Internet became more readily available to families and people in general. With this increased availability came a litany of "dotcom businesses," which were more Internet-based. While online companies aren't uncommon today, as names like Bob Jain will tell you, this was seen as a risk with technology that was still developing. Sadly, the risk in question didn't pay off.
"What caused the dotcom crash?" When it comes to the causes of dotcom crash, you have to look at the individuals responsible for it. First, there were many online business owners that hoped they would be able to grow by leaps and bounds in short order. Second, investors were quick to put money into said businesses. This combination of actions didn't pan out, as these companies would end up folding, resulting in substantial financial losses for all parties involved.
"Is it possible for another crash to occur? If so, how can I avoid it?" Given the substantial growth of businesses as of late, ranging from retail to social media, it would be shortsighted to say that another crash can't occur. To prepare, understand that some businesses operate more solidly than others. Not only do they know what they're taking in, but they're mindful of what they spend as well. These are the businesses you should want to invest in so that you know you'll get more than you initially put in.
Hopefully this information has given you a better understanding of the dotcom crash from a historical standpoint. While it stands as an event in history, it should also be looked at as a cautionary tale. It should be regarded as a warning to those that are looking to start businesses or get involved in thriving industries. It's entirely possible for the bubble to burst, which is why a sense of care goes a long way.
"I'm not familiar with the dotcom crash; what was it?" Essentially, the dotcom crashed occurred in 1995, which was when the Internet became more readily available to families and people in general. With this increased availability came a litany of "dotcom businesses," which were more Internet-based. While online companies aren't uncommon today, as names like Bob Jain will tell you, this was seen as a risk with technology that was still developing. Sadly, the risk in question didn't pay off.
"What caused the dotcom crash?" When it comes to the causes of dotcom crash, you have to look at the individuals responsible for it. First, there were many online business owners that hoped they would be able to grow by leaps and bounds in short order. Second, investors were quick to put money into said businesses. This combination of actions didn't pan out, as these companies would end up folding, resulting in substantial financial losses for all parties involved.
"Is it possible for another crash to occur? If so, how can I avoid it?" Given the substantial growth of businesses as of late, ranging from retail to social media, it would be shortsighted to say that another crash can't occur. To prepare, understand that some businesses operate more solidly than others. Not only do they know what they're taking in, but they're mindful of what they spend as well. These are the businesses you should want to invest in so that you know you'll get more than you initially put in.
Hopefully this information has given you a better understanding of the dotcom crash from a historical standpoint. While it stands as an event in history, it should also be looked at as a cautionary tale. It should be regarded as a warning to those that are looking to start businesses or get involved in thriving industries. It's entirely possible for the bubble to burst, which is why a sense of care goes a long way.
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