This paper reviews a number of theoretical issues dealing with the strategic management process in fast-evolving, uncertain environments and examines the fit between theory and practice by means of two case studies, two successful dot.com incumbents from the first generation of Internet start-ups. Analysis of survival and growth strategies of the two virtual firms reveals interesting similarities in their evolutionary processes and corporate strategic attitudes. In both cases the company management has ensured survival and growth through rigorous organizational transformation based on very intensive, flexible and short-term- rather than long-term-oriented strategic decision making. This approach has helped out both companies not only to escape the Internet fall-out but also to build up strong brands and leading market position. As well as identifying managerial approaches, the case studies show analogies to theoretical approaches on managing the strategic process in evolving and chaotic environments.