research Two (2) peer-reviewed articles that can be used to answer your upcoming assignment. Please read Chapters 13 & 14 and answer the two following questions: 1. During the early days of the In

Baye, M., & Prince, J. (2017). Managerial Economics & Business Strategy (9th ed.,). McGraw-Hill Education.  Research Two (2) peer-reviewed articles that can be used to answer your

upcoming assignment.

Please read Chapters 13 & 14 and answer the two following questions:

1. During the early days of the Internet, most dot-coms were driven by revenues rather than

profits. A large number were even driven by “hits” to their site rather than revenues. This

all changed in early 2000, however, when the prices of unprofitable dot-com stocks

plummeted on Wall Street. Most analysts have attributed this to a return to rationality, with

investors focusing once again on fundamentals like earnings growth.

● Does this mean that, during the 1990s, dot-coms that focused on “hits” rather than

revenues or profits had bad business plans? Explain. (Chapter13- Problem 14)

2. During the dot-com era, mergers among some brokerage houses resulted in the acquiring

firm paying a premium on the order of $100 for each of the acquired firm’s customers.

● Is there a business rationale for such a strategy?

● Do you think these circumstances are met in the brokerage business? Explain.

(Chapter 13- Problem 17)