2. What is the Dotcom bubble?
The dot-com bubble was a historic
speculative bubble covering roughly
1997–2000 during which stock markets
in industrialized nations saw their equity
value rise rapidly from growth in the
Internet sector and related fields.
3. What is the Dotcom bubble?
While the latter part was a boom and
bust cycle, the Internet boom is
sometimes meant to refer to the steady
commercial growth of the Internet with
the advent of the World Wide Web, as
exemplified by the first release of the
Mosaic web browser in 1993, and
continuing through the 1990s.
4. Background of DotCom
Bubble
The low interest rates in 1998–99 helped
increase the start-up capital amounts.
A canonical "dot-com" company's business
model relied on harnessing network effects by
operating at a sustained net loss and to build
market share.
5. Influence of a stock price
The Nasdaq composite index of NASDAQ with
many communication related issues was
changing around 1000 in 1996.
However, it broke through 2000 in 1999 and
5048 of the top was shown on March 10, 2000.
6. Influence of a stock price
Thus, the venture business founder who
exhibited stocks gained immense wealth, and
accelerated the venture establishment boom
centering on Silicon Valley.
In America, it is called a dot-com boom or a
dot-com bubble.
7. The fall of a stock price
Although the American economist praised such
a phenomenon as "new economy", after that,
ignited by interest rate raise of the Board of
Governors of the Federal Reserve System, a
stock price collapses quickly, also has a U.S.
coordinated-terrorist-attacks incident, and fell to
1000 sets in 2002.
8. The bubble bursts
In such collapse of a stock price, many IT
related ventures were driven into bankruptcy,
and the number of the U.S. IT related jobless
people in 2002 amounted to 560,000 people.
the floatation support fund centering on Silicon
Valley temporary coming out that it was obliged
to reduction or abolition and only some (such
as Google, amazon.com, and e-bay) ventures
survived.
9. Influence on the world
A phase patch and Ireland attained the
economic growth which direct investment of IT-
related company enjoys this boom in small
country Ireland whose wage and salary costs
were low, and is called "a Celt's miracle" also in
European countries.The blow of the collapse of
the 'bubble' economy to the Ireland economy
was not decisive.
10. Influence in Japan
Yahoo!JAPAN, Softbank and optimism, a cyber-agent,
livedoor, etc. prospered as Web companies. On the other
hand, in Japan, almost all companies withdrew from OS
war, and newly-listed stocks, such as the existing
communication and mobile phone related stock, a
computer related stock, a semiconductor, a
telecommunication cable, or optical communications,
mainly became an investment outlet.
However, since economy of Japanese economy was dull
by the depression from after the collapse of the 'bubble'
economy and IT related investment was partial, the
influence on Japan was very restrictive.
