I don't know about the enterprise area, but when this happens in the gamedev industry (and it happens a lot), it's extra depressing because 90%+ of the people working on it will have poured their life and soul into it and
really care. We're not talking individuals in a sea of office drones.
Part of the problem is that "release early, release often" is hard to do when it comes to entertainment products. MMOs & social games are starting to change that, but nothing close to the sort of pivoting you can do with, say, a productivity web app.