The Bronx Bombers' great run of 1996 to 2000, when they won four World Series titles in five years, came shortly after a losingcycle in the early '90s, a period the team used to build its talent base organically.
According to Edmunds.com, a new car depreciates in value by 11% the minute you drive it off the lot, and since it only retains about 58% of its value after three years, my friend is in a losingcycle.
Many of the communications-infrastructure chip companies are still losing money, and because they were cash rich from the secondary offerings during the up cycle, they were not as aggressive in cost control during the down cycle.