2. Outline
● What is the dot com bubble
● What happened
● How did companies and individuals suffer
● What was the impact of this bubble in the
financial sector
● Conclusion
● References
3. What is the dot com bubble
● A historic speculative bubble of period 1997-2000.
● The period marked by the founding of a group of new
Internet based companies with official web site have
domain “dot.com”
for exanple; google.com ...etc
● Shares of high tech companies is speculated.
4. What happened
August 9,1995 Netscape Communications
company listed its shares marked the advent of
dot-com bubble. At the mid of 1990s, with the
development of PC, the Internet venture
capitalists funding for establish business
website. More and more companies have
establishes and listed their shares.
5. What happened
The Down Jones index and NASDAQ index
growth up with the NASDAQ index peaking at
5132.52 in intraday trading before closing at
5048.62 on March 10, 2000. In the rest of 2000
this index reduced 50% and continued declined
in the next years.
6. How did companies and individuals suffer
April 4, 2000 the NASDAQ fell from 4283 points
to 3649 points. By 2001, the bubble was
deflating at full speed. A large amount of dot
com stopped trading. Investors often referred to
these failed dot coms as “dot-bombs”.
7. What was the impact of this bubble in the
financial sector
The burst of bubble opened the economic
recession early 2000s in US. The economic
recession in US also entailed the recession in
other countries such as; British, Japan,,,etc
8. What was the impact of this bubble in the
financial sector
Dot-com bubble and many other factor have
made the economic prosperity of use United
States in the second half of the 1990s in the
following ways.
● The technology shares grow up made the development
of many technology companies.
● Stimulated consumption.
9. Conclusion
The growth up quickly of new technology
especially information technology bring a lot of
chances for business but the overestimate and
speculation cause to the collapse of the market.
