Imagine you are in charge of renewing the corporate strategy for Netflix. The threat of new entrants
Question:
Imagine you are in charge of renewing the corporate strategy for Netflix. The threat of new entrants to the industry is high, although it's unlikely that a new company could make a significant impact on Netflix's market share in the short term. Take into consideration that Netflix is largely an intermediary for content - sitting between content creators and consumers (they produce some, but still a minority of the content they provide, so the power of suppliers is high). What should Netflix be most concerned about in the next two to five years? How can they invest in new things, change what they do or how they do it, in response to these concerns? The Friday-night ritual of casually strolling up and down the aisles of a video store in search of the perfect movie fix are now only a distant memory, preserved as a historical artefact in the 1996 slasher film Scream. The demise of the video rental store is not a mystery - Netflix is squarely to blame. Advances in telecommunications' infrastructure made it possible for internet speeds to stream video content directly to our homes, and Netflix was already successful by the time internet speeds made this possible.
Step by Step Answer: