1. What competitive forces have challenged the television industry? What problems have these forces created?
The competitive forces that have challenged the television industry are substitute services and customers. Youtube has become a problem to the television industry. Instead of going to a cinema or buying an original copy of a movie, most people all over the world switch to Youtube as an alternative as they do not need to fork out any money to watch videos on Youtube. Not only Youtube, the television industry also faces problems from other video streaming websites whereby TV shows and movies can be watched without any charges by Internet users. In terms of customers forces, problem that has merged towards the television industry is that customers find it easier and more convenient for them to watch their favourite shows online. Rather than having to follow the television programme schedule, customers can easily watch any shows via the Internet at anytime they wish. Another problem would be the loss of revenue of the television industry as people might cut their TV cable and turn to watching online because it is indeed lower to them in the sense of money. Obviously, most people do not want to pay an extra sum of money for TV programmes that they can watch for free. 2. Describe the impact of disruptive technology on the companies discuss in this case.

In the case study, the two companies that were affected by the advancement of technology is the music company and the cable company. The music company face declining number of CD sales since the introduction of the Internet. This is because a lot of music can be downloaded for free from the internet. Not only that, another problem faced by the music company is regarding the copyright issue. Most videos or music posted in the web page such as Youtube and Facebook are unauthorized clips, making it a big