Case 3 Will Tv Succumb to the Internet?

Case 3

Will TV succumb to the Internet?

Table of Content

1. Issues.............................................................................................................. 3

2. Analysis ......................................................................................................... 4

3. Reference ....................................................................................................... 9

Issues

1. What competitive forces have challenged the television industry? What problems have these forced created?

2. Describe the impact of disruptive technology on the companies discussed in this case.

3. How have the cable programming and delivery companies responded to the Internet?

4. What management, organization, and technology issues must be addressed to solve the cable industry’s problems?

5. Have the cable companies found a successful new business model to compete with the Internet? Why or why not?

6. Which one do you think will win the competition, TV or Internet? And why?

Analysis

1. What competitive forces have challenged the television industry? What problems have these forced created?

There are three parts of the competitive forces that challenged the television industry. The first is about the television networks and content producers, they belong to traditional competitors. In order to increase the number of viewers and increase the amount of revenue gained from advertisers, they are continuously devising new, more efficient ways. For the cable industry, these changes are the most threat, because it relies on a captured audience of viewers who pay a monthly subscription for television content.

Second, new Web sites like Hulu.com, Facebook, YouTube, Joost and CBS’s TV.com, which is the new entrant of the market. People want to access television content on their own time schedule, with a reduced amount of advertising, and all new ways can help them achieve these goals. These...