There are many different challenges that Netflix has had to overcome the past decade. When Netflix first emerged it pushed Blockbuster out of business because they offered something unique. Their differentiation offered mail-in DVDs that arrived next day for low prices. For many customers this was more convenient than going to the store because they could receive and return their DVD rentals fast and conveniently through the mail. As the years started to progress so did the technology in which customers would watch movies and play games. As technology grew the need for faster rentals also progressed. Customers no longer wanted to wait the 1 business day for their movie and game rentals. Netflix had to act quickly. The owners and operators of Netflix had developed a plan to stream movies online which would provide a faster viewing experience for its customers.
The number one challenge Netflix has faced in the past decade is learning how to reinvent itself with the fast paced technological advances. In this new age of technology it is a persistent struggle to keep up with the newest trends. The company has faced several issue in the online streaming world, yet the company still strived to move forward. Netflix thought it would be profitable to merge into the studios’ business and create content which is referred to backwards integration. The Chief Content Officer, Ted Sarandos stated in a GQ interview “the goal is to become HBO faster than HBO can become us.” Netflix has also won over a great amount of popularity with their successful series House of Cards and Hemlock Grove (Cohan, 2013). Although Netflix has had a great success in The United States with video streaming, the company has been expanding for the past years to offer their services worldwide. Netflix has reached several other countries which include Canada, Norway and Denmark, just to name a few. Though the company has had an exuberant amount of successes, they have yet to conquer Spain. There are...
References: Cohan, P. (2013, April 23). How Netflix Reinvented Itself. Forbes. Retrieved April 14, 2014, from http://www.forbes.com/sites/petercohan/2013/04/23/how-netflix-reinvented-itself/
Fritz, B. (2011, August 17). Netflix to hit Spain. latimes.com. Retrieved April 14, 2014, from http://latimesblogs.latimes.com/entertainmentnewsbuzz/2011/08/netflix-spain-britain.html
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