Case Analysis Of Netflix

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n 1997, CEO Reed Hastings started Netflix when Hastings got charged $40 at Blockbuster for a late return of Apollo 13, he decided to start an entertainment company called Netflix. Netflix offered customers flat monthly fees for unlimited DVDs rentals, easy home delivery and returns via prepaid postage envelopes, and no late fees. Blockbuster lost many customers because of this. Netflix was in competition with Blockbuster, Amazon, and Walmart who also started their own mail-delivery video rentals. Three years later, Walmart handed over their DVD rentals on Walmart's website to Netflix. Amazon also ended up quitting after four years of losses. Blockbuster finally declared bankruptcy 13 years after Netflix started. Netflix is now number 1 in the…show more content…
Reed and his executive team should focus on their growth strategy. By focusing on this strategy, Netflix can improve the way in which they get an increase of profit by convincing other studios to let them license their content. This way Netflix will have more content from studios and HBO will not see them as a competitor anymore. In result, HBO will end up giving Netflix what they want but in reality, Netflix would be gaining much more subscribers because of their wide selection of…show more content…
There are no strict compensation rules; workers choose their stock-to-cash ratios. There are few formal titles. Netflix employees come to the office, work extraordinarily hard, and they go home (2018). The way that their employees have fun is by building products and coming up with new ideas. Planning can be used to determine their organizational goals by telling their employees what the goals are and how they plan on achieving them. Their internal environment should consist of hard working employees and managers to achieve organizational goals by working together as a

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