Netflix Case Study

Netflix in 2012 Case

1. What are the various ways that a movie studio can get us to pay money to consume their product (a movie)?

Rentals, Internet subscription services, online streaming of new movies

2. What are the various different methods or ways we can RENT a movie?

Digital downloads, renting DVDs from movies stores and libraries around the neighborhood, renting through Amazon Video on Demand

3. What is changing about why and how and where we rent movies?

Changes in technology have affected the need for physical forms of movie media. People have accepted digital methods, with the younger generation at the forefront. The shift to online rental of movies commensurate with cheap rates of rental and efficient delivery of services (renting movies).

4. Porter’s 5-forces analysis for the case assignment

a) Who are the various rivals who compete in the movie rental industry?

Blockbuster, Netflix, Amazon Video on Demand, cafedvd, redbox, huluplus, Zip.ca

b) Who are the customers of the companies in the movie rental industry?

The customers of movie rental businesses are: adults, people of faith and spirituality, Lesbian and Gay, fitness and sports enthusiasts, war enthusiasts, family and children, fantasy and Sci-Fi lovers, and television shows or documentary viewers among others.

c) Who are the suppliers of the companies in the movie rental industry?

The suppliers of movie rental industry are majorly the producers and production houses of the film industry. They include, but are not limited to Dreamworks Animation, Relativity Media, Columbia Pictures, Universal Pictures, United Artists, Warner Bros., RKO Radio Pictures, Paramount Pictures, Loew’s Incorporated/MGM, and 20th Century Fox.

d) What are the substitute products that we could choose to buy instead of renting a movie?

Documentaries, Television shows, preaching and prayer DVDs, Adult DVDs, and video game...