Tivo Case Study Essay

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TiVo Case Study 1. Draw a supply chain (or value net) that traces the various stakeholders involved in the TiVo value chain and their respective interactions. From this, what insights do you get about the relative value that each stakeholder adds in this process? TiVo struggles with finding ways to decrease the overall cost of customer acquisition. Costly components and services to assist customers with set-up combined with marketing costs to educate potential customers on the value and benefits of their products leads TiVo to finding ways to increase revenue while decreasing costs. One way TiVo has found to address this while also working with stakeholders is to provide a new kind of advertising to partners so as to not only offer…show more content…
Other than die-hard early adopters, reaching out to the massed is proving to be difficult for TiVo. They struggle to create the same devotion among the mass market. Lastly, what is the shelf life for TiVo? With competition able to offer the basic service that TiVo can, how long until they can provide all of the services at a lower price or will the service become completely obsolete as viewing habits continue to change with new entrants to the market such as Hulu and Netflix? 3. What are TiVo’s core competencies? Is the company effectively leveraging these in its current strategy? TiVo developed a truly innovative and disruptive technology that revolutionized television. In doing so, they amassed a devoted and fanatical following if users- all of which contribute to the core competencies of the company- technology, loyal customers . “The company's name has become a verb: The phrase "Did you TiVo that show?" is rapidly gaining on "Did you tape that show?" in the pop-culture vernacular, (Fast Company, 2002).” However, TiVo has much more to do to leverage the revolutionary aspect of their product. "It's important to be honest about [TiVo's] shaky financial future," says PVRblog creator Matthew Haughey. "They got the tech right from the very start and developed an incredible product, but seem like they've been stumbling around for the past six years trying to devise a path to profitability." (Forbes, 2004) TiVo
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