Alas, there's nothing like a pinch of reality to pop an over inflated hype bubble. These days, so many of those whiz-bang dot-coms are dot-goners; Nortel shares are penny stocks; and the busiest folks in Silicon Valley aren't new age high-tech gurus but rather a legion of repo men towing BMW and Mercedes sports coupes back to the impound lot.
Since the turn of the millennium, the business casualty list - especially in the IT sector - has become increasingly bloated. A McKinsey Quarterly report released last year determined that out of 492 software companies defined as "struggling," only 13% were subsequently able to revive themselves. McKinsey noted that executing a turnaround in the software sector is an especially difficult task, because at the first signs of trouble forces specific to the industry combine to create a deadly downward spiral.
Be the first to comment on this!
This article is for subscribers only. To view the entire article
Note: Please enter a display name. Your email address will not be publically displayed