Yeah but usually those "traditional" business have something more concrete to invest in e.g transportation, inventory, manufacturing or buying shelf space.
I imagine if "SnapChat" blows up, they won't need to hire the engineers GameApp0, FoodApp1, CarApp2 let go.
It doesn't really need to scale like a "traditional" factory.
I get what you're saying, and I am not arguing against your points. I am just trying to get clarification if I'm worried for no reason.
The salaries are high because so many startups live on credit. Eventually they die and the supply is higher than the demand.
I wouldn't say you're worried for no reason, but software is an outlier: it requires very little equipment to build. You could literally write software anywhere in the world as long as you have a computer, and as a byproduct, an Internet connection.
If you're sufficiently motivated, you'll always be able to find work, either as an employee, or as an independent consultant.
I imagine if "SnapChat" blows up, they won't need to hire the engineers GameApp0, FoodApp1, CarApp2 let go. It doesn't really need to scale like a "traditional" factory.
I get what you're saying, and I am not arguing against your points. I am just trying to get clarification if I'm worried for no reason. The salaries are high because so many startups live on credit. Eventually they die and the supply is higher than the demand.