The Definition Of A Blockbuster And Its Consequences

There are basically six technology-driven threats to the traditional rental model: (1) Cable companies offering Video on Demand (VOD), (2) online movie downloads, (3) online movie rentals, (4) disposable DVDs, (5) illegal movie downloads and DVD copying, and (6) Digital (or Personal) video recorders (DVR). (Jackson) One could also consider traditional pay-per-view (PPV) as and additional substitute. Only one of these seven, online movie rentals has proven to be a major competitive substitute for traditional movie rentals. All other areas, except traditional pay-per-view are expanding rapidly, but some face significant challenges.

Blockbuster implemented a new strategy for customers to access their rentals in “five channels of distribution: in-store, by mail, through vending machines and kiosks, online, and at home (direct to the TV)” (DATAMONITOR, 2009). However, this strategy was a reactive approach to the problem produced ten years behind schedule. Wooldridge et al., (2007) stated that Blockbuster should select and adapt their strategy to respond to the fast changing market and maintain a competitive position. This was an obvious failure for Blockbuster. The changes in the market produced a decline in profit at a faster pace than the strategies that Blockbuster implemented to combat these losses.

2. Pirogi, Jeanine. (2013). Titled: The Rise & Fall of Blockbuster: The very Long & Rewinding Road" (The Street). N.p., 23 Sept. 2010. Wide-Web. 11-Dec.

Blockbuster was “the largest movie rental chain” in the Movies industry around the world (Biesada a). According to Rourke, Rothburd and Stansell (2006), Blockbuster mainly focused on “providing in-home rental, retail movie, and game entertainment”. It created 9,100 video stores and provided services to almost three million of customers in America and 24 other countries (p. 74). In 2010, the company filed for bankruptcy since it failed to adapt new technology in their strategies, and “was sold to satellite TV service provider DISH Network in 2011” (Biesada b).

The movie studios want customers to be able to get their movies and entertainment as easily as possible. The easier it is for people to acquire their products the more likely it is that they will. By offering many different options for customers to obtain movies and entertainment, Blockbuster has a strategic advantage over its competitors. The convenience that Blockbuster can offer in their ability to distribute the movie studios products is a definite advantage. Another advantage

In 2011 Dish Network announced its acquisition of Blockbuster. This was a significant change in company strategy. The hope was with that highly recognized brand with more than fifteen hundred would help Dish to compete in video entertainment industry. Unfortunately these plans never materialized and Dish showed operational loss. In 2012 Dish started to close Blockbuster stores and had to lay off their employees focusing more on digital offering. But even this attempt was not successful and customers’ preferences stayed with Amazon and Netflix services instead. The reason of this failure was that it’s not enough to just implement changes. The process of transformation and vision of the goals are just as important.

While many people make a living from labor or technical skills, others’ occupations regard the use their intellectual property. For protection of distribution and tampering of their work, those originators copyright their work. As this phenomenon became universal, the World Intellectual Property Organization was created with the purpose of preserving work. As a response, the Digital Millennium Copyright Act was signed. The DMCA implemented both the WIPO Copyright Treaty and the WIPO Performances and Phonograms Treaty. Also known as the “Internet Treaties,” they both were “created to address changes in digital technology and communications, particularly the distribution of

• Blockbuster is a generally perceived name in the feature rental business sector, being the first move into the

Even though it grew mainly due to the strategies and innovative ideas it developed in this industry, the fact that there was an absence of substantial competition also helped propel its success.

The rise of the Internet era opened the whole new market for traditional media full of opportunities as well as threats. Online piracy being one of them because the music and film industry loses £5.4bn in a year and if it was reduced by 10% it could have created up to 13 thousand jobs in the UK. There are various attempts taken to fight with online piracy; a case study of Anti-Counterfeiting Trade Agreement will be considered as well as other legislations attempting to regulate copyrights in the Internet. This

The presence of Netflix and Blockbuster in the movie rental industry has assisted me in developing this analysis of each corporation’s strength, weaknesses, opportunities, and threats as followed:

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

Today, digital technology and the Internet are deeply reshaping the motion picture industry with a trend toward the digitalisation and disintermediation (Zhu, 2010). Media streaming services are an example of this current restructuration. Providing an access to a wide collection of entertainment online at a cheap price, they have penetrated the monopoly that cinema once enjoyed (Herberg, 2017). A significant example can be found in the US company ‘Netflix’, source of nearly a third of all North American downstream internet traffic at peak hours (Hallinan & Striphas, 2016). Once a small DVD subscription service created in 1997, it offers today to its subscribers to watch its own produced movies and shows as well as content of other

With the introduction of new technologies and the development of electronics products, people are now having more opportunities to view movies. However, home viewing is still the most popular way of watching movies. Accordingly, Movie rental has become an industry. This essay will give a detailed analysis of the global leader in the movie rental industry, Blockbuster.

“Any sufficiently advanced technology is equivalent to magic.” Arthur C. Clark couldn’t have said it better. It blows my mind how quickly and effectively new technology is being made. Could you imagine living in a world without your Iphone? Or how about having to use an actual paper map instead of your latest and greatest GPS? Well that’s how I grew up, and I turned out just fine. So before you go and get angry at your parents for not buying you the new Iphone 25s, try to imagine growing up in my generation without all these fancy gadgets.