Netflix Case Study Example | Topics and Well Written Essays - 2000 words

Netflix - suit of clothes Study ExampleNetFlix has near zero rental charges for its subscribers and that is what sets it apart from its rival firms. Having satisfied the 3 rudimentary criterias for victorful crinkle, this paper is aimed at examining what were the possible driving forces that led to such good foodstuff standing of the company. Along the same discussion we also point out various strategic and private-enterprise(a) challenges that the firm might face in near future and suggest means to minimize the imp maps of those threats. installation At the onset, Netflix started off as a mental picturedisk rental provider that used lucre to sign orders. Subscribers made their selection over the portal and mailed in their orders. The DVDs would then be delivered via mail. The entire system allowed the customer to keep the DVDs as long as they wished to, without an superfluous charge. Netflix derived its major revenue from their subscription plans that incorporated costs of streaming, mailing and renting of videos. As we moved to the digital age, internet streaming and online viewing has caught up. NetFlix has welcomed the change and continues as leader by innovation i9n the video rental market. DVD renting, though, has not lost its value just yet (Hillary, Alex, & Ian, 2009). In this paper, we would analyze NetFlixs market standing, its business model and its business and marketing strategy using various tools like the SWOT analysis and doormans five forces to arrest the companys key success factors and staying strength. Moving forwards, the discussion continues to determine the critical areas that might need immediate attention for NetFlixs sustenance and also suggest whatsoever marketing and strategy recommendations that might prove useful in revenue and subscription improvement. Analysis Strategically speaking, video rental industry is more competitive that an oligopoly or a monopoly. This is believed to be in stark billet with what the gene ral opinion holds. An industry where instant availability drives the market, the paper tries to analyze what forces have led to success of NetFlix and what could be the possible challenges in the given scenario through various tools (Null, 2003). SWOT Strengths NetFlix is a well complete brand and known to almost every Household Extensive and Assertive marketing has etched its concern in memories of individuals Competitive Pricing has won the loyalty of the masses. Good relation and strong business with suppliers makes NetFlix, a good name among Video providers. NetFlix and a widespread presence which gives it an advantage due to ease of access. NetFlix has a wide array of offerings in videos, in both TV episodes and movies. The company has been constantly upgrading itself to higher technology and better capabilities. Weaknesses Damaged DVDs demand a high cost of replacement. This might act as discouragement to frequent video buyers. NetFlix takes slightly longer time to procure and deliver videos. belt along in delivery is the pillar of success in this particular and this drawback could put NetFlix in a build if it sustains for long. Customers who are not very frequent with movie rentals rarely find something else that might catch their catch Video streaming fails to include all movies within its program. Opportunities NetFlix could try selecting movies that might have a revenant demand with customers. Such movies could be displayed on their video streaming channels (Lewis, 2001). The company could experiment with creating a collection of movies and TV shows of the subscriber