Netflix Case Study Problem Statement

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Its business model is based on a subscription service that provides home-delivery of DVD rentals and streaming of movies and TV shows.

The company took advantage of the rapid growth in the DVD rental market, the internet and e-commerce by providing a service that the traditional brick-and-mortar retailers, such as Blockbuster, could not compete with.

That’s right: we need to know what awaits the company (and all of us) in the year 2019. And it is a great time for Netflix that can expand to various territories, especially those where English has a privilege of the second language! We’ll see…In the meantime, we can expect that Netflix will continue its triumphal march through the digital media space.

Of course, times are hard, and the competition is tough.

With his i Pad in one hand and his coffee in the other, he glanced at the clock as he entered the conference room. The stock has plummeted over the past ten months and I would not consider it a value play." Before Chris could even begin taking notes Ms.

Chris had 30 seconds to spare and thought to himself, "another close call. Hunter said pretty forcefully "Come on Joe, this is a great company.

Taking advantage of this technology, the American company Netflix launched a video streaming website on 2009 where users could watch the most recent Television episodes and Hollywood Blockbusters.

Netflix changed content consumption models in the entertainment industry and led to the disappearance of the mainstream video rental store in North America.

In 2011, however, a price hike, poor management decisions, changes in technology, and increased competition threatened Netflix, leading to a sharp decline in its share price.

In this case, students analyze the fundamentals of Netflix including its financials and management decisions to help determine if Netflix's poor stock performance in 2011 was predictable as well as what the future might hold for this company.

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