Tech Companies' Dutch Disease
Definition: Dutch Disease After reading Alan Greenspan's book last year, one concept that's remained with me is Dutch Disease, which I (over-)simplify to mean: When you have one huge cash cow industry/revenue stream, then all your other industries suffer. Combine that with this article on tech crunch . I see a similarity there, in that tech companies that were formerly innovative latch onto a current upper-bound revenue source (Let's say MS Office) and short-change other opportunities, or (worse yet) view them in terms of the current technology. It's interesting to look at one company that hasn't fallen prey to this: Amazon. Amazon survived the dot-com bubble, and looks to survive and thrive through the Great Recession, too. Why? To me, the answer is counter intuitive: They do the opposite of "focusing on [their] core competencies]". They do off-the-wall stuff. Remember the first Kindle? Totally ahead of the market, and totally against thei...