When the internet, which has officially become our hands and feet, began to become widespread, the whole world was caught up in the dizzying speed of this digital revolution. The slowly growing internet craze would later lead to the crisis we call the “dot-com” bubble today.
In the early 1990s, the internet was the future as a gold mine was seen and with the spread of the internet, large amounts of money were invested in this field and many internet-based businesses began to emerge.
Entrepreneurs doing business in this field were seen as explorers in the new digital world. having the “.com” extension and “dot-com companies” The names of the companies known as A.Ş. adorned the headlines of newspapers, and their success stories were told on television programs.
However, within this magical world that influenced everyone, there was a danger that not everyone could see.
It didn’t take long for the interest in the Internet to become a craze. extremely rapid growth It also meant great danger, but the magic of the digital world had influenced everyone.
Especially Between 1995 and 2000investments in “dot-com” companies reached astronomical levels.
Don’t think we’re exaggerating when we say it’s crazy. Any without even a business plan companies could raise millions of dollars in funding.
Many internet companies have obtained significant capital through public offerings.
People had great faith in the future of the internet and there were many companies that would operate in this field. every company will be successful The belief became widespread.
Valuations of companies have increased rapidly, and investors have invested in these stocks in the hope of making huge profits. invested.
The media also had a great influence of course. Every development related to the revolutionary internet was considered news. This caused more investors to enter this market.
In the 2000s, the bitter truth emerged and investors’ confidence was shaken.
Many of the “dot-com” companies receiving investment There was no solid business model and they could not make a sustainable profit.
The emergence of this fact has deeply shaken investors’ trust in the internet and caused a decrease in this sector. broke their beliefs.
Thus, panic selling began, which is one of the first steps of a crisis.
Among investors who try to sell their shares quickly in order to avoid greater losses wave of panic There was.
The sales caused the share prices to fall even further. Due to sudden price drops in the market The NASDAQ stock market crashed.
This situation is many The collapse of the “dot-com” company and resulted in many investors losing their investments.
In summary, the “dot-com” bubble, one of the most important events in the investment world and economic history, occurred in a period when technology was rapidly developing. By not getting caught up in this kind of madness It emphasizes the importance of being more conscious.
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