Hulu

I. Time Context

On the year 2010, Hulu was given a proposal from initial public offering which never materialized. However, the company failed since the owners wanted to maintain and control their standards on the licensing of their content.

II. Point of View

Hulu’s CEO, Jason Killar.

III. Central Problem

Will Hulu be able to work on their way up (in terms of marketing, advertising and sales) competing with their competitors with minimal risks?

IV. Secondary or Sub-Problems

• Internal squabbling between owners because of suggested price subscription increase.

• Its potential sale last summer fizzled.

• Network streaming problems of subscribers.

V. Objectives

• Price decrease of subscription fees for its sales to be projected higher.

• Maintain the company’s image with their standardized service and image.

• Update on their network streaming and more shows to be aired.

VI. Areas of Consideration

STRENGTHS:

❖ Ranked top 1 on advertisement streaming.

❖ Low labor cost

❖ Revenue arise by $420 Million in the year 2011.

❖ Has its sales and distribution networks.

WEAKNESSES:

❖ Its market is very competitive.

❖ High subscription payment fee for subscribers.

❖ Slow streaming.

❖ Internal conflicts among owners.

OPPORTUNITIES:

❖ Having new markets.

❖ Risk Capital.

❖ Profitability.

THREATS:

❖ Increase rates of interests.

❖ Government laws.

❖ Price changes

VII. Alternative Courses of Action

- They must come up on a price for the subscribers that is not expensive and would be enough to their quality of service.

➢ Advantage: More subscribers...