Read: A Little too Public - on page 180 (Chapter 9, Section 4.1)- PLEASE NOT COP
ID: 435938 • Letter: R
Question
Read: A Little too Public - on page 180 (Chapter 9, Section 4.1)- PLEASE NOT COPY AND PASTE FROM INTERNET GIVE ME YOUR THOUGHTS
A one page write up on this case. Provide a brief synopsis of the main point or issues in the case, your reaction to the main points/ issues, and give possible solutions/ improvements that are relevant to the course concepts for this week.
This is the larnign objetive for this week:
Learning Objectives
Appreciate why other firms found Netflix's market attractive, and why many analysts incorrectly suspected Netflix was doomed.
Understand how any firms have confused brand and advertising, why branding is particularly important for online firms, and the factors behind Netflix's ability to offer the customer a huge (the industry's largest) selection of movies.
Understand advantages of the Netflix business model regarding concepts such as the long tail, collaborative filtering, and churn rate.
Describe the sources of Netflix's size advantage in the DVD-by-mail business, and how this large scale is a difficult-to-create asset for any start-ups trying to compete in DVD-by-mail. Understand the role those scale economies play in Netflix's strategies, and how these scale economies pose an entry barrier to potential competitors.
Understand the comparison of fixed to marginal costs in terms of digital services and products, the divide between atoms and bits.
Understand the competitive advantages that Netflix is developing and strengthening over time.
Describe the range of products and services provided by Amazon.com.
Describe Amazon.com's fulfillment operations.
Understand how the Kindle factors into Amazon.com's profitability.
What is AWS? How is cloud computing factor into Amazon.com's current and future growth?
Understand how CSS is used to organize the display of a web page.
VERSION 4.0 INFORMATION SYSTEM TION SYSTEMS: A MANAGER'S GUIDE TO HARNESSING TECHNOLOGY V A Little Too Public? As with any type of social media, content flows in social networks are difficult to control. Embarrassing disclos ures can emerge from public systems or insecure internal networks. Employees embracing a culture of digital sharing may err and release confidential or proprietary information. Networks could serve as a focal point for the disgruntled (imagine the activity on a corporate social network after a painful layoff). Publicly declared affliations, political or religious views, excessive contact, declined participation, and other factors might lead to awkward or strained employee relationships. Users may not want to add a coworker as a friend on a public network if it means theyll expose their activities, lives, persona, photos, sense of humor, and friends as they e ist outside of work And many firms fear wasted time as employees surf the musings and photos of their peers All are advised to be cautious in their social media sharing. Employers are trawling the Internet, mining Face book, and scouring YouTube for any tip-off that a would-be hire should be passed over. A word to the wise those Facebook party pics, YouTube videos of open mic performances, or blog postings from a particulary militant period might not age well and may haunt you forever in a Google search. Think twice before clicking the upload button! As Socialnomics author Erik Qualman puts it, What happens in Vegas stays on YouTube (and Flickr, Twitter, Facebook...). Firms have also created their own online communities to foster brainstoExplanation / Answer
In 1997 when Netflix was introduced to the market it became a sensational success. Very first time some service was providing rental DVDs over the post in which a customer doesn't have to move from the couches to get the DVDs at their home.
There was a very large involvement of the video stores during definition growth of Netflix. Netflix ended that growth of the stores by providing services to the customers at the doorstep. Later Netflix launched its internet-based subscription service in 1999 and provide a huge number of movies to its customers. The specific change in the strategy of Netflix made him the undoubted king of the industry.
Blockbuster was the initiator of the rental service in the America. But blockbuster never replied new technology to its organisational structure. This specific mistake lead blockbuster to bankruptcy. Blockbuster had it stores all over the America which was very famous for distributing DVD and also had the bending machines which were overcome by the Netflix new technologies and web based streaming.
Major environment shift was shifting from the store based rental system to online Internet based rental system which benefited the Netflix for getting better viewership over the blockbuster.Later blockbuster filed for the bankruptcy which made Netflix a leader in the industry.
According to the McGahan model if a company is going through and industrial change environment then it should also change in the same way otherwise it will go bankrupt. It is obvious to change the company is overall strategies as well as technological advancement according to the market. If a company doesn't see the upcoming clues and arise that the fall conclusions for all the time then the overall loss of the company is very big. Same thing happened with Netflix, when industry was shifting towards the Internet Netflix went with the flow and chose to shifting with the Internet which lead it to be a market leader.
Blockbuster didn't applied any kind of strategic improvements by looking at the competition from Netflix. that's why blockbuster has been bankrupt and Netflix is now a brand leader in industry.
Blockbuster food on their traditional selling method which was being used in the organisation from last 10 years and didn't evolve with the changing environment that's why blockbuster faced hard times.
Blockbuster was very passive towards its rental service and always believe that the rental service would never be surpassed by any new coming Technology. Pilot analysis of the market blockbuster looks so much time in applying new strategies to its business and that lead it to difficult times.
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