Netflix Case Analysis Essay

Words: 3268
Pages: 14
Open Document
-------------------------------------------------
EMS Consulting
-------------------------------------------------

Strategic Plan
Three-Year Plan: Staying Competitive in a Dynamic Market

Emilee Anderson, Morgan Hall, Vincent Nelson
GBA 490 – 003
Dr. Ron Dulek
February 28, 2013
Table of Contents
Executive Summary ……………………………………………………………………………. 3

Issues and Recommendations …………………………………………………………………. 3

Industry Overview ……………………………………………………………………………... 5

Company Overview ……………………………………………………………………………. 6

Exhibit 1 – Five Forces Model of Competition ……………………………………………….. 8

Exhibit 2 – Driving Forces …………………………………………………………………… 10

Exhibit 3 – Key Success Factors ……………………………………………………………... 11

Exhibit 4 – …show more content…
So not having the latest titles at the earliest time is unappealing for this personality type.
In an attempt to remedy this problem we recommend that Netflix partner with various entertainment studios to acquire the licensing needed to release their movies online the same time the DVD versions are released. This is going to be costly and Netflix will have to decide whether to absorb the cost or pass it onto the customer. If Netflix decides to pass that cost onto the subscribers then it is our recommendation that they do on an as needed basis. Meaning that instead of raising prices across the board, offer a premium package that includes the new movies, or give the subscriber the option to pay for each “new release” when they want to watch it. As in, for each newly released movie the customer must pay a $.99 fee.
Industry Overview By year end 2010, more than 85% of United States households had one or more DVD players while an even larger number had combination DVD players/recorders. Since 2000, the in-home movie viewing experience has transformed drastically. Due to the introduction of new technology and electronic products, consumers are able to view movies and television shows from almost anywhere. A wide variety of new and existing distribution channels and providers increased consumers’ ability to obtain or view videos and television shows. Some examples of these options include: purchasing from
Show More

Related Documents: Netflix Case Analysis Essay

Blockbuster Case Analysis Essay

Blockbuster Case Analysis I. Strategic Profile and Case Analysis Purpose: The Blockbuster firm is a leading provider of rental movie and game entertainment with approximately 8,000 stores. The company operates in the US, Europe, Latin America, Australia, Canada, Mexico and Asia. Blockbuster is headquartered in Dallas, Texas and employs 58,561 people; this figure includes full-time, part-time and seasonal employees. The company recorded revenues of $5,287.9 million during the financial year…

Words 1020 - Pages 5

Netflix Case Essay

Case 6 Netflix’s Business Model and Strategy in Renting Movies and TV Episodes 1. How strong are the competitive forces in the movie rental marketplace? Do a five-force analysis to support your answer. Currently the competitive forces in the movie rental marketplace are not very strong. There are not very many players seeking to gain share in the market. The only competitors that come to mind when thinking of the movie rental marketplace are Netflix, Blockbuster and Red box. The evolution…

Words 1094 - Pages 5

Essay on Netflix Case Study

Netflix Case Study Analysis Executive Summary: Netflix Inc. (Netflix) is currently the largest online provider of DVD rentals in the US. Founded by Reed Hastings in 1997, the company offers monthly prepaid rental services utilizing its online search engine, where the company then mails DVDs to subscribers via the United States Postal Service (USPS). Since the company’s inception, Hasting has been exploiting disruptive innovations as a means of creating a competitive advantage over incumbents…

Words 5286 - Pages 22

Subscription Business Model Essay

EXECUTIVE SUMMARY Founded by Reed Hastings in 1997, NetFlix Inc. is the largest online provider of DVD rentals in the U.S., offering monthly prepaid rental services and applying processes of online film search engine, ordering and direct mailing of DVDs to subscribers via the United States Postal Service. NetFlix’ innovative business model has to this point served as a competitive advantage helping to detract profits from competitors including Blockbuster Video and traditional “mom and pop” video…

Words 3342 - Pages 14

Zhe Xu S Case Analysis Essay

months of 2011, Netflix was in a rapid growth, the subscribers and stock price was doubled from before. However, after Netflix changed the strategy, the company’s stock price into a tailspin, and subscribers reaction was negatively, about 600,000 customers had canceled their subscriptions. Then the negotiation with Starz had broken down, and the licensing expired in March 2012, that was exacerbated the company’s stock price continue going down and a loss for the whole year. Analysis 1- Competitive…

Words 1225 - Pages 5

Essay about Netflix Case Study

Case #6 – Netflix’s Business Model & Strategy 1. How strong are the competitive forces in the movie rental marketplace? Do five-forces analysis to support your answer. Firms in Other Industries Offering Substitute Products There is a small amount of possibilities for substitutes. The only substitutes would be illegally obtaining the movies by downloading or streaming, purchasing ³bootleg´ DVD¶s, or waiting until the movie is aired on public or cable TV stations. Suppliers of Raw Materials…

Words 1449 - Pages 6

Global Marketing Assignment Essay

London MKT 7100 Prepared by: ID: 000064521 9th April 2015 Total Word Count 4,289 TABLE OF CONTENT 1 Task 1 3 1.1 Executive Summary (198 words) 3 1.2 Company Overview (246 words) 3 1.3 Situation Analysis (379 words) 4 1.3.1 SWOT Analysis 4 1.3.2 Porter’s Five Forces 5 1.3.3 Steeple Analysis 5 1.3.4 Market Opportunity (218 words) 5 2 Task 2 6 2.1 Objectives for Market Entry (498 words) 6 2.2 Business Development Strategy (664 words) 8 2.2.1 Ansoff Matrix 8 2.2.2 Gap Filling 8 2.2.3 STP 9 3…

Words 5885 - Pages 24

Netflix Case Study Essay

Movies and TV Episodes Netflix has a simple strategy, but it works. From the case it is obvious that Netflix has been growing continually year upon year. When employing the fit, competitive advantage and performance tests, Netflix’s strategy surpasses all. Even though Netflix has some competitors, they blow them out of the water with price and convenience for customers. By continually enhancing their selection and fostering relationships with entertainment companies, Netflix will continue to grow…

Words 934 - Pages 4

Video on Demand and Netflix Blockbuster Comcast Essay

NETFLIX VISION REED HASTINGS stated that “our vision is to change the way people access and view the movies they love” NETFLIX MISSION “Our appeal and success are built on providing the most expansive selection of DVD’s; an easy way to choose movies; and fast free delivery” OBJECTIVES Netflix objective is to as many free trail users to paid users as possible and to retain paid users over the long run. It achieves its objectives by building and enhancing customers. DEVELOPING VISION AND MISSION STATEMENTS…

Words 920 - Pages 4

Essay on Netflix Case Study

Netflix Netflix is considered one of the top leaders in the DVD rental/ streaming industry, and there are many reasons why. This case analysis will go over some of the strengths of Netflix, some of the downfalls of the company, and what makes them who they are today. Netflix has many competitors in the industry, and they are now in a constant struggle to stay atop of the leader board as online streaming becomes more popular. Technology: There are many entrants in the market today, and one…

Words 1899 - Pages 8