Netflix Case Study - 2880 Words

Abstract The following is a case study of Netflix, Inc. an American-based company that provides the streaming of online media to consumers in North America, South America, and parts of Europe. This case study will provide a brief overview of the company’s history along with four present-day challenges that the company will face as it tries to stay ahead of the competition. In its discussion of the present-day challenges that Netflix, Inc. faces the discussion will also relate the proposed challenges to the managerial challenges of globalization, diversity, and ethics. After each of the four anticipated challenges have been addressed then this paper will provide an analysis of the steps that Netflix, Inc. has already taken to keep the†¦show more content†¦For Netflix, Inc. the major focus of this challenge would be staying ahead of the technology curve. Researchers for the organization must always keep an eye out for innovative technologies that are emerging in the consumer mar ket. It may even be wise for the organization to research various companies that are on the verge of launching new media devices so that a contract can be made prior to the introduction of the product. For example, currently there is no specific device developed to allow the streaming of online media in the backseat of a car. If a company were to develop such a device then it would be beneficial for Netflix, Inc. to go into contract with that company so that its media-streaming service could be accessed from the car. Growing competition as a challenge represents the various companies that are now entering the market of online media-streaming. Companies such as HBO, Amazon, Google, and Hulu Plus have all began to offer media-streaming on the same electronic devices as Netflix, Inc. Currently Netflix, Inc. remains in the lead amongst its competitors; however, there is no guarantee that this advancement is a permanent one. It is inevitable that emerging companies will come up with creative ideas to gain the competitive edge and receive more consumers. For example, Amazon.com has â€Å"amplifiedShow MoreRelatedCase Study : Netflix And Netflix1031 Words   |  5 Pages Case Study Netflix started in 1998 when a guy named Reed Hastings was tired of being charged late fees for keeping a rental movie. â€Å"Netflix would have no late fees; users could keep the movies as long as they wanted† (Grewal, Levy, 57). Netflix depended on on the Internet to take customers requests for rental discs because they had no brick-and-mortar stores. In 2002, Netflix had 1 million customers, in 2006, they had a 5 million customers, and in 2010, a whopping 14 million customers. CustomersRead MoreNetflix Case Study1171 Words   |  5 PagesImpact of horizontal and vertical conflict to Netflix Horizontal and vertical conflict has a great impact on Netflix. Less than a decade ago, if you wanted to watch a movie in the comfort of your own home, your only choice was to roust yourself out of your recliner and trot down to the local Blockbuster or other neighborhood movie-rental store. Blockbuster is still the world’s largest store-rental chain with over 9,000 stores in 25 countries and $4.1 billion in annual sales. But its revenues haveRead MoreNetflix Case Study1279 Words   |  6 Pagesexpenditures in up-front Ramp;D and advertising costs, both of which are emphasized in order to differentiate service and build brand equity. There are also government policies to reinforce the barrier. For example, in addition to its red envelops, Netflix has patents to protect essential characteristics of its business model such as its â€Å"Max Out† and â€Å"Max Turns† approaches. This creates cost disadvantages through a greater learning curve for new entrants, espe cially when competing against algorithmicRead MoreThe Netflix s Case Study3053 Words   |  13 Pages The Netflix Approach to Compensation – Case Study By: Maximillien Alepin, Yashar Eskandari, Shuhan Chen, Jake Bretton, Melissa Reed For: Professor Chen Yu-Ping MANA 443 – Compensation and Benefits Concordia University Summary – Part 1 The case study â€Å"Equity of Demand: The NETFLIX Approach to Compensation† includes information regarding the company, named Netflix. The case study provides useful information regarding the organizational culture of Netflix. The case is usually associatedRead MoreNetflix Case Study943 Words   |  4 Pagesrights management, and the slow, but steady, move away from physical Media. Companies such as Netflix, Hulu, RedBox, and Blockbuster are being forced to look at new business models and try to keep up with these changes. Assignment Questions 1. How strong are the competitive forces in the movie rental marketplace? Do a ï ¬ ve-forces analysis to support your answer. Threat of New Competition: Netflix has almost zero threat of new competition. Any new competition would have to overcome large capitalRead MoreCase Study - Netflix Rollercoaster818 Words   |  4 PagesWelshymer BA 370 9/29/15 Extra Credit # 1 Case Study: The Netflix Rollercoaster 1. Netflix’s original marketing strategy offered several flat-rate monthly subscription options; in which, members could stream movies and shows via the Internet or have disks sent to their homes in a pre-paid and pre-addressed envelope. Free from the despair of due dates and late fees, members could keep, up to, eight movies at a time. Upon the return of a disk, Netflix would automatically mail out the next movieRead MoreEssay on Netflix Case Study1461 Words   |  6 PagesNetflix Inc.,: Streaming Away From DVD’s Case Study: Emily Heath Part 3- Alternative Solutions To ensure the company will achieve stability by maintaining customer appreciation and satisfaction, Netflix must invest their time and finances into new alternative solutions. The solutions are based on what problems have presented themselves and are in best interest of the customers and the company. The main concerns at the moment seem to be the unreliability and instability of the companyRead MoreNetflix Case Study Essay1334 Words   |  6 PagesNetflix Case Study The video rental industry began with brick and mortar store that rented VSH tape. Enhanced internet commerce and the advent of the DVD provided a opportunity for a new avenue for securing movie rentals. In 1998 Netflix headquartered in Los Gatos California began operations as a regional online movie rental company. While the firm demonstrated that a market for online rentals existed, it was not financially successfully. Netflix lost over $11 million inRead MoreNetflix Case Study1814 Words   |  8 Pagesidentifying creativity and innovation as the key to Netflix past success as Harold has consistently shown in his decisions throughout the history of the company taking bold action to chase un-ventured routes to satisfying customer needs. The essence of the report however, is to highlight the issues surrounding the current technological advancements in the DVD rental market now that VOD has become a feasible and realistic platform that can be supported. Netflix is faced with a multitude of options and myRead MoreNetflix Case Study5103 Words   |  21 Pagesï » ¿ Netflix in 2012: Can It Recover from Its Strategy Missteps? Executive summary: Netflix employs a subscription-based business model and subscribers can chose from a variety of subscription plans. The business model consists of two parts; the DVD-by-Mail option, and the streaming option, which launched in January 2007. Both options were bundled together until July 2011 when Reed Hastings announced the separation of the two services. Before the announcement Netflix recorded tremendous