The Internet is widespread, to say the least, so it's hard to imagine a time when we didn't have it at our fingertips. It wasn't until the late 90s that the World Wide Web came into its own, as evidenced by the historical event known as the dot-com bubble. This is an event that many people remember from recent history, but the specifics are still unclear. For those that would like a learning experience on the matter, here are a few details provided by Bob Jain.
It was in the late 90s that there was something of a technology boom. The Internet was perhaps the most prominent example, as a number of online-based startups came into the fold. Investors had the idea that these startups would be the future, so it would make sense for them to pool their resources in them. After all, if you put money into anything, no matter how much or how little, you expect to see some kind of return.
While 2000 showed a tremendous high in terms of returns, the year after yielded little success. Robert Jain, as well as other minds in finance, can tell you that investors were growing less confident in their ventures. Not only were they not seeing as many gains, but a number of Internet startups had to shut down due to this lack of success. With this information in mind, one has to wonder what caused this dot-com bubble to finally burst.
When it comes to what caused the dot-com bubble to burst, an argument can be made that impatience played the biggest role. After all, when companies are given ample amounts of money, it's expected that they make huge strides in no time. The problem with this is that results aren't immediate, especially when it comes to making money. It would make sense for these startups to close down if expectations for them are too high to reach.
The dot-com bubble situation was one that cost people ample money, but is there anything that can be done to ensure that an event of this magnitude doesn't occur again? For investors, it's important to look into whatever it is you're planning on investing in. You should make it a point to put money into companies and causes that you know to be legitimate. The smarter your investments are, the less money you stand to lose.
It was in the late 90s that there was something of a technology boom. The Internet was perhaps the most prominent example, as a number of online-based startups came into the fold. Investors had the idea that these startups would be the future, so it would make sense for them to pool their resources in them. After all, if you put money into anything, no matter how much or how little, you expect to see some kind of return.
While 2000 showed a tremendous high in terms of returns, the year after yielded little success. Robert Jain, as well as other minds in finance, can tell you that investors were growing less confident in their ventures. Not only were they not seeing as many gains, but a number of Internet startups had to shut down due to this lack of success. With this information in mind, one has to wonder what caused this dot-com bubble to finally burst.
When it comes to what caused the dot-com bubble to burst, an argument can be made that impatience played the biggest role. After all, when companies are given ample amounts of money, it's expected that they make huge strides in no time. The problem with this is that results aren't immediate, especially when it comes to making money. It would make sense for these startups to close down if expectations for them are too high to reach.
The dot-com bubble situation was one that cost people ample money, but is there anything that can be done to ensure that an event of this magnitude doesn't occur again? For investors, it's important to look into whatever it is you're planning on investing in. You should make it a point to put money into companies and causes that you know to be legitimate. The smarter your investments are, the less money you stand to lose.
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