- 08.01.13 07:26 AM EDT
When PSY released his dance-pop hit Gangnam Style, it practically destroyed the internet. It also sent shares of D I Corp, a South Korean company that makes testing equipment for semiconductors up 800%. Why? Because that's PSY's father's company, and human psychology is an interesting thing.
And by interesting, we really mean surprisingly straight-forward. The phenomenon at play has nothing to do with the prospects of his company -- it's not like all the free publicity of being PSY's son helped D I make better whatever-the-hell-they-make. It's just that people like to invest in companies they've heard of, for the simple reason that they feel familiar. It's called -- aptly -- the Investor Recognition Hypothesis.
It's a fancy way of saying that the best way to have a successful tech firm is to spawn a son who makes himself a household name by dancing like a horse.