Columbia Southern University Netflix Inc Exemplary Company Showcased Case Discussion Read “Exemplary Company Showcased: Netflix, Inc. (NFLX)” on page 90 of

Columbia Southern University Netflix Inc Exemplary Company Showcased Case Discussion Read “Exemplary Company Showcased: Netflix, Inc. (NFLX)” on page 90 of your course textbook. As you read, pay close attention to Netflix’s strategy, and write a case study describing the points listed below.What are Netflix’s internal strengths and weaknesses?Who are Netflix’s competitors?Do you see Netflix’s strategy as effective or ineffective? Why?Your case study must be at least one page in length, not counting a title page and reference page. Outside sources are not a requirement for this case study, but if you choose to use them, they must be cited and referenced according to APA standards. Exemplary Company Showcased
Netflix, Inc. (NFLX)
Based in Los Gatos, California, Netflix does an outstanding job
analyzing customer buying trends and desires and incorporating that
information into its strategic-planning process. Netflix gathers
extensive information about its customers’ usage and content choices,
utilizing voluminous individual data into strategic information. An
analyst for Janney Capital Markets recently said, “Netflix understands
its viewers by tracking every single thing they do; and develops
patterns among its subscribers, and matches them up properly with
content offerings.” Doing such an excellent job with customer analysis
has enabled Netflix to reportedly obtain one-third of all Internet primetime traffic in the United States. Lately, the company’s streaming video
services are focusing more on popular TV shows and less on hit
movies. Netflix now has 32 percent of the top 75 TV shows from the
past 4 years, compared to Amazon’s 12 percent, but Amazon is
actively promoting its Prime Instant Video service that competes
with Netflix. In early 2015, Netflix’s stock surged 42 percent in a single
day to a 52-week high over $500. Analysts expect Netflix’s
addressable subscriber base to reach 207 million globally by 2017, as
the company grows rapidly across Europe and
beyond. Netflix recently entered six European countries: Germany,
France, Austria, Switzerland, Belgium, and Luxembourg—after
already providing services in the U.K., Ireland, Netherlands, and
Scandinavia. Netflix entered Australia and New Zealand in March
2015, followed by Italy, Portugal, Spain, and Japan in October 2015.
Netflix’s stock is expected to split in late 2015 for only the second
time in the company’s 13-year history. With Netflix stock currently
being almost $700 per share, a lowered split stock price is expected to
widen the pool of people interested in buying the stock, which has
been soaring throughout both 2014 and 2015. As of April 1,
2015, Netflix had 20.9 million international subscribers and 41.4
million streaming subscribers in the United States.
Source: Based on Jon Friedman, “Reaching Out to Give What Customers Want: Netflix Offers the Right Movies to the Right
People,” Investor’s Business Daily, July 7, 2014, A7.

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