Independent Vs Blockbusters

Analyze Blockbuster's current position (based on its brick-and-mortar business model) using Porter's 5-forces model. What are the conclusions of your analysis?

I use to bring Thanksgiving dinner to the employees at my local Blockbuster. To me, those people had always been apart of my family. My mom and I brought them dinner, and they were sure to waive our late fees. Each evening my mother and I strolled into Blockbuster in hopes of finding the perfect movie, we became apart of a rare breed known as the video store regulars. So, consequently in middle school when my Blockbuster closed I cried as if my world was ending.

What role has Netflix played in the development of Blockbuster’s strategic planning? How important is Netflix to Blockbuster’s future strategic plans?

Hollywood movies have created a brand for themselves across the globe. There is so much hype created when a movie is released that an individual just wants to see a movie. These are known to most countries across the globe. Many of the movies have big famous names attached to the film, like Brad Pitt and Angelina Jolie in the Mr & Mrs Smith. These brand names attract a lot of

The most dramatic event in Hollywood did not take place on screen. The decision in the United States vs. Paramount Pictures case, colloquially called the Paramount decision, and the Hollywood blacklist created a great upheaval in the film industry. These events resulted in major changes in the direction of American filmmaking. The most major results of these incidents were the switch to the goal of producing a single show stopping film, later called blockbusters, and the shift to intentionally perpetuating so called “American Ideals” to prevent being accused of being a communist and subsequently blacklisted. Overall, the Paramount decision and Hollywood blacklist altered the filmmaking business by changing the type of movies being made and the themes within them.

As the movie industry moved into the 80's and 90's a new and distinctive type of film emerged. This new style was the Hollywood studio blockbuster. As the studios began making more and more blockbusters a vacuum was created that independent film makers were happy to fill. Though opposites in style, they compliment one another in the main goal of Hollywood: making a profit. These two distinctive styles of film have simultaneously worked together to see the reemergence and recovery of the movie industry.

“The Blockbuster store, a fixture of many American neighborhoods for 25 years, will all but disappear in coming months, the chain's owner, Dish Network Corp., said Wednesday.

Blockbuster Video ruined their chance of surviving in the world, and they did not even know they ruined it at all. In 2000, the CEO of Netflix, Reed Hastings, flew down to Dallas to try and acquire Blockbuster into a deal of a lifetime. Hastings offered the CEO of Blockbuster, John Antioco, to promote Netflix in the Blockbuster Video stores, and Netflix would run the bran of Blockbuster online. He ended up getting laughed at and had to leave. Antioco had no idea of what offer he had just turned down.

“Never be without a movie”, a slogan that used to be successful for many years. Blockbuster was the definition of “entertainment” itself at this time: Not only the company offered to rent or purchase movies but also it completed the customer experience with horizontal diversification: food, beverages, games etc. It followed the strategy of several business models: Brick and mortar shops, cross merchandising, and also rent rather than buy. Its value creation came from several partnerships with movie / video producers, and supplier of foods supplies. The initial strategy standard was to pay a minimum wage to employees, in order to reduce expenses, but also focus on advertising, promoting the company, developing the store locations etc. The main

Netflix, that utilized little more than a site and knowledge of united states postal service to topple a much all the more capable and well off adversary.

Blockbuster is the largest movie rental retailer. With its opening in 1985, Blockbuster has pursued an ambiguous program of growth and expansion. Currently, Blockbuster owns and operates over 9,000 stores both domestically and internationally. In addition, Blockbuster franchises about a quarter of its stores. It is important to note that Blockbuster is undergoing a managerial struggle at the present time. The current CEO, John Antioco, and a major shareholder, Carl Icahn, are disputing Blockbuster’s strategy. Mr. Antioco has threatened to resign if Mr. Icahn succeeds at attaining a position on the Board of Directors1. Mr. Antioco believes that Blockbuster needs to develop new strategy to respond to the current market

The competitive forces in the movie rental industry are quite strong, as I will explain through the five forces model. There are a vast amount of substitutes for watching a movie. You can go to a play, sporting event, concert, out the lake/beach, go for a run, watch regular television, go shopping; I could go on and on. Also, torrenting or pirating movies is growing increasingly popular. Buyers have a strong presence in this industry mainly because they are picky about how much they will pay to rent or stream a movie. With the amount of substitutes and their pickiness, they make this

Competition in the Movie Rental Industry in 2008: Netflix and Blockbuster Battle for Market Leadership

At the beginning the company was considered leader of its industry due to its capacity to customize a store to its neighborhood,

External environment is very important for managers to make decision about the company’s direction and strategy. In order to gain a deep understanding of Blockbuster’s industry and competitive environment, the following seven questions need to be answered. Q1: What are the industry’s dominant economic features?