Blockbuster: Movie Rentals in the Digital Era SWOT Analysis Internal Strengths If a strength or a weakness is ambiguous, explain the reasons that you have to classify it as a strength or a weakness. * Overall size of the company: Blockbuster is #1 in the industry. In the entertainment industry size is very important. Large companies are able to get better deals from movie studios. * Management team is open change. The management of the company appears to be open to new ideas
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| RSM251 | Individual Paper #2 | Professor TsaiL0201 | | | Cun Yu Wang 997531960 | Netflix Trends in the Industry In the 1990s, most people rented movies on VHS cassettes and many “mom-and-pop” stores were present. The retail stores reserved most of the shelf space for new releases and had limited selection for other movies. “Late fee” was a must for retail rental stores to encourage on time returns and higher stock turnover. However, in the 2000s, many trends
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Movie Production and Distribution Industry Industry Overview A major influencing factor in the general environment of the movie production industry is the implementation of new technology. The improvement of technology has always been a driving force behind the filmmaking industry. There are various kinds of technology forthcoming. A major one is the development and use of 3D, IMAX and digital film. These new developments have changed the way that movies are made and affect the cost and
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2012. In 2011 they were able to monetize value especially through investing in sports (NBA) and their collaboration with CBS. 2. Current strategies Strategy 1: Acquisition: TW acquired subscription video-on-demand services (SVOD) such as Hulu and Netflix (a deal worth hundreds of millions of dollars), and Flixster – a social network for movie fans, which all monetize and maximize the value of TWs’ content. Strategy 2: Innovation: TW introduced TV Everywhere so called HBO GO, a streaming service
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Bentley University McCallum Graduate School of Business Administration GS601-100 Strategic Information Fundamentals Spring 2012 Syllabus & Schedule as of January 3, 2012 Professor: Dennis Anderson Office: Smith 402 Email: danderson@bentley.edu Office Phone: 781 891 2238 Class Times: Section 100: Monday, 7:30 - 9:50 pm Office Hours: For quick/easy questions, send me an email. For tough questions, career advice and other matters, face to face is better,
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more Which services do you use to rent movies through (check all that apply)? Movie Rental store Netflix Redbox iTunes Cable Service Other Which service do you use the most to rent movies through? Movie Rental store Netflix Redbox iTunes Cable Service Other A year ago which service would you have used the most to rent movies from? Movie Rental store Netflix Redbox iTunes Cable Service Other Have your habits changed in the last year when renting a movie
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turned down the opportunity to purchase Netflix which has become one of the biggest on-demand internets streaming media available to viewers across the globe. Blockbuster was at an all-time high in sales in 2004 employing over 60,000 people with over 9,000 chains of stores. From 2003 to 2005 Blockbuster loses 75% of its market value as competition increases from the likes of Netflix and Redbox. (Marcus, Schaefer 2011) By 2010 the competition from Netflix drove sales for Blockbuster down causing
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not pay attention to the needs of its consumers. Although the business model Blockbuster rents was innovative at the time and later, like its competitor Netflix, income raided by mail, but not daring to adopt new technologies online income, hosted in the cloud timely, as they failed to take critical questions that have saved the company. Netflix, and even companies like Sony, bet stores online video hosted on the cloud, with a proposal within your PlayStation 3, then why not consider this trend Blockbuster
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Assignment Questions Netflix 1. What are the dominant economic characteristics of the online movie rental business? 2. What is Netflix’s vision? 3. What is Netflix’s strategy? What type of competitive advantage is it trying to achieve? 4. How do Netflix’s business model and strategy compare to those being employed by key rivals, particularly Blockbuster? 5. How is the online movie rental business changing? What are the underlying forces of change and how are they impacting the industry
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HOW THE VOD/SVOD HAS CHANGED THE ENTERTAINMENT LANDSCAPE Hollywood has drastically changed over the past years due to evolution of digital media. The digital landscape had provided to movies and TV producers a new way to exhibit their work. Before, the main way to show a movie was through theatrical realizing. This time is over. Movie can be watch online through divers devices (mobile phone, computer, tablet…) via online sites/platforms. Video On Demand and Subscription Video On Demand have
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