doom loop

doom loop
 n.— «Companies that don’t go through this process will be facing even greater risks. Startups that rely solely on cutting could head into a downward spiral if revenue doesn’t increase enough to offset low margins. That could lead to a whole new round of cost-cutting, or what Goldman Sachs analyst Anthony Noto calls a “doom loop.” He expects this syndrome to begin hitting dot-coms soon.» —“Some Drastic Dot-Com Remedies Aren’t So Smart” by Heather Green BusinessWeek July 27, 2000. (source: Double-Tongued Dictionary)

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Further reading

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