Select yes for those factors below that are acting to intensify/weaken the bargaining power and leverage of subscribers/viewers, and choose no for those factors that are not.

Individual subscribers/viewers have virtually no power to bargain for a lower price on streamed content from Netflix, Amazon Prime Video, or other streamed content providers.

Individual subscribers/viewers may opt to switch to a different provider and negotiate for a better rate at any time.

Individual subscribers/viewers are not in a position to negotiate the terms and conditions under which they will watch a streamed program or the content of any streaming provider.

The bargaining power and leverage of individual subscribers/viewers of streamed content is a weak competitive force.

Technological changes related to the Internet.

Changes in how the product is used/viewed. There has been a rapid switch from renting DVDs to watch movies to watching streamed content on big-screen, HD screens and, increasingly, on all kinds of mobile devices.

Product innovation (partly driven by technological changes).

Marketing Innovations leads to a growing number of subscribers.

The weight of evidence indicates that the driving forces will all act to intensify competition among the various streaming providers.

The driving forces will also lead to higher profitability for all streaming providers.

The driving forces in this industry are likely to reduce the barriers to entry for other potential competitors

Netflix has the strongest geographic coverage and it has excellent digital delivery capability.

Local brick-and-mortar and kiosk competitors are destined to gain sales and market share in the years ahead as streaming providers raise their subscription fees.

Amazon, Hulu, HBO, Vudu, and numerous others in countries across the world are improving their streaming/VOD capabilities and competitive appeal as a Netflix alternative.

Redbox is strongly positioned in the disc rental segment and will be a viable niche competitor for several years to come.

Cable & Satellite providers could pose a threat to Netflix if fees increase and consumers refuse to subscribe to streaming providers.

A wide selection of titles that includes most all of the following: movies, TV episodes, video games, and live events.

The capability to deliver digital content via high-speed networks.

The ability to charge higher fees (either via subscription or on a per-rental/pay-for-view basis).

The ability to spend sufficient amounts on marketing and advertising to attract and retain a subscriber/user base that is large enough to be profitable.

A well-known brand name/reputation that draws customers to use that streaming providers service a high percentage of the time.

Acquisitions of smaller movie companies by larger streaming providers will change the competitive landscape.

Netflix has capitalized on having been the first-mover in expanding its market presence to virtually all of the worlds countries where it was permitted to do business.

A competitive asset for Netflix is their brand name recognition and brand power.

Netflix has a large, diverse content library, with a rapidly-growing number of original content titles.

Netflix has the capabilities to produce their own in-house content.

Netflix was not a first mover but was certainty successful in following the strategy of other streaming providers.

Netflixs proprietary recommendation software qualifies as a distinctive competenceone that provides competitive advantage currently and has potential for delivering sustainable competitive advantage.

Netflix has a capable top management teamReed Hastings is experienced in managing growth companies and has done a good job of maneuvering Netflix into its position as a market leader.