...computer chips, Metcalfe's, which refers to the growing usefulness of networks and Gilder's Law of the increasing expansion of bandwidth availability.
These laws, explained Bittinger, are set to transform processes, products and services. When put together, the combined effect is "exponential", he said. Enterprises that are focused on these changes hope to capture technology-enabled network-era opportunities before their competitors, he added.
"A new generation of dot-com firms is increasingly focused on harnessing innovation — applying ideas from both inside and outside the company to drive the pace of innovation faster," Bittinger said. "The successes — and failures — of the dot-com era have taught us valuable lessons about what approaches work best for creating, financing and growing new dot-com firms that are more likely to succeed."
With the rise of China's Baidu, which saw its stock value grow 354 percent on the first trading day after its IPO in August this year, and the burgeoning technology industries in India and China, it appears that the dot-com days may be far from over.
Hollywoodclicks, an online DVD rental service provider in Singapore, is a young dot-com company that entered the fray two years ago. Its co-founder, Richard Fan, agrees that learning from the dot-com crash is crucial in enabling new dot-coms to succeed where their predecessors had failed.
"Most companies who went bust then didn't have a proper business model," Fan said. "They relied more on content and had no real revenue model."
"Back in the old days, everyone was just concerned about traffic, trying to build up traffic for the Web sites and believing that somehow, they will be able to make money. But most of these companies just could not legitimise revenue," he said.
Fan noted that those that survived the crash, and continue to do well today, were in reality distribution companies.
"Look at eBay and Amazon.com," he said. "They went out there to get customers and then arranged transport for their products. They made use of the online model [to grow their business]." He noted that it was easier to get customers online, than physically going outdoors to gain new clients. "And it is easier to transport products online than through normal means," he added.
Fan admitted that the business model of Hollywoodclicks is based loosely on companies such as eBay and Amazon.com and he is optimistic that Hollywoodclicks will enjoy longevity in the market.
"Basically, the Internet factor plays a huge part in our decision," he said. "Everybody uses the Internet and broadband penetration is very high in Singapore. So we think that going online is the best way."
According to Fan, Hollywoodclicks broke even within a year of its operations despite having pumped in initial investments totalling a six-figure sum. He declined to reveal specific financial numbers.
The Internet has come a long way since the dot-com bust. Today, consumers can do more than rent DVDs online and choose from a gamut of Web-related services which include travel bookings to Internet banking to retail shopping.
At the end of the day, companies need to realise it is not about buying into the dot-com hype but of careful strategising and having a sound business model.
"We have to be extra vigilant against complacency. In particular, we continue to think that it is customers, not the competitors, that define who we are and why we exist," said dollarDEX's Lai.
