Dot-com company

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A dot-com company, or simply a dot-com (alternatively rendered, dot com, dotcom or .com), is a company that does most of its business on the Internet, usually through a website on the World Wide Web that uses the popular top-level domain ".com".[1]

The suffix .com in a URL usually (but not always) refers to a commercial or for-profit entity, as opposed to a non-commercial entity or non-profit organization, which usually use .org. Since the .com companies are web-based, often their products or services are delivered via web-based mechanisms, even when physical products are involved. On the other hand, some .com companies do not offer any physical products.[2]

Dot-com bubble[edit]

While the term can refer to present-day companies, it is also used about companies with this business model that came into being during the late 1990s with the rapid growth of the World Wide Web.[3] Many such startups were formed to take advantage of the surplus of venture capital funding and were launched with thin business plans, sometimes with just an idea and a catchy name. The stated goal was often to "get big fast", i.e. to capture a majority share of whatever market was being entered. The exit strategy usually included an IPO and a large payoff for the founders. Others were existing companies that re-styled themselves as Internet companies, many of them legally changing their names to incorporate a .com suffix.

The stock market crash around 2000 that ended the dot-com bubble resulted in many failed and failing dot-com companies, which were referred to punningly as dot-bombs,[4] dot-cons[5] or dot-gones.[6] Many of the surviving firms dropped the .com suffix from their names.[7]

See also[edit]

Notes and references[edit]

  1. ^ "dot com company". Retrieved 2018-07-01.
  2. ^ Investopedia (2018). "Dotcom". Investopedia. Retrieved 10 October 2018.
  3. ^ (2018). "Dot-Coms". Retrieved 10 October 2018.
  4. ^ "What detonated dot-bombs?". USA Today. December 28, 2000. Archived from the original on June 26, 2001. Retrieved May 1, 2010.
  5. ^ Skillings, Jonathan. "Explaining the "dot-cons"". ZDNet.
  6. ^ Fisher, David (2001-12-13). "From dotcoms to dotgones..." Evening Standard. Retrieved 2013-07-19.
  7. ^ Glasner, Joanne (2001-08-31). "Dot's In A Name No More". Wired news. Archived from the original on 2006-07-16. Retrieved 2005-12-27.

External links[edit]

External video
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