A good question to pose would be: assuming a significant economic downturn is likely, how would this affect typical 'web 2.0' businesses?
The answer may well be 'badly'. A great deal of these sites presume a healthy, wealthy economy: they hope to generate income from ads, or subscriptions, or hope for investment and/or buyout. All of these routes will be significantly impacted by a liquidity crunch.
Many sites with small margins, or hoping for investment, or looking for a big sale, or counting on getting big fast may then have real problems.
I am not denying that there are many opportunities on the web, or saying that it is necessarily a bad time to be in the internet business. I am suggesting that anything less than a solid business may prove extremely vulnerable to a small-medium recession.
The answer may well be 'badly'. A great deal of these sites presume a healthy, wealthy economy: they hope to generate income from ads, or subscriptions, or hope for investment and/or buyout. All of these routes will be significantly impacted by a liquidity crunch.
Many sites with small margins, or hoping for investment, or looking for a big sale, or counting on getting big fast may then have real problems.
I am not denying that there are many opportunities on the web, or saying that it is necessarily a bad time to be in the internet business. I am suggesting that anything less than a solid business may prove extremely vulnerable to a small-medium recession.