Introduction Netflix is a media distribution company. It started with DVD distribution via mail, but has evolved substantially over the course of its existence. Today, Netflix is focused on streaming video. Some of its content is licensed, and some of the content is produced in-house. Netflix originally focused on movies, but today television shows are probably the more common format. Netflix works on a subscription model, where users get unlimited access to content with a paid subscription. This paper will analyze the corporate and business-level strategies behind Netflix as the company exists today, and the state of the competitive market in which the company exists.
Business-Level Strategy
According to the textbook, business level strategy is an approach that a company uses to exploit core competencies to gain competitive advantage. There are several types of business-level strategies that a company can adopt: cost leadership, differentiation, focused cost leadership and focused differentiation. Netflix utilizes the…...

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References

Hartung, A. (2016) Can Netflix double-pivot to be a media game changer? Forbes. Retrieved November 19, 2018 from

Hopewell, J. & Lang, J. (2018) Netflix\\\\'s Erik Barmack on ramping up international production, creating global TV. Variety. Retrieved November 19, 2018 from https://variety.com/2018/tv/global/netflix-erik-barmack-international-production-global-tv-1202976698/

Interbrand (2018) Best global brands 2018 rankings. Interbrand. Retrieved November 14, 2018 from https://www.interbrand.com/best-brands/best-global-brands/2018/ranking/

Seeking Alpha (2014) Netflix is no stranger to the pivot. Seeking Alpha. Retrieved November 18, 2018 from https://seekingalpha.com/article/2080063-netflix-is-no-stranger-to-the-pivot

Shaw, L. (2018) Netflix buying new production studio in New Mexico. Bloomberg. Retrieved November 19, 2018 from https://www.bnnbloomberg.ca/netflix-buying-new-production-studio-in-new-mexico-1.1149041\\\\'

Statista (2017) Share of consumers who have a subscription to an on-demand video service in the United States. Statista. Retrieved November 19, 2018 from https://www.statista.com/statistics/318778/subscription-based-video-streaming-services-usage-usa/

Trefis (2018) Netflix projects strong subscriber growth in Q4. Forbes. Retrieved November 19, 2018 from https://www.forbes.com/sites/greatspeculations/2018/10/18/netflix-projects-strong-subscriber-growth-in-q4/#3d0f70573a36

Yahoo Finance (2018) Netflix. Retrieved November 19, 2018 from https://ca.finance.yahoo.com/quote/NFLX/financials?p=NFLXhttps://www.forbes.com/sites/adamhartung/2016/04/21/can-netflix-double-pivot-to-be-a-media-game-changer/#29a8ec436402

NETFLIXNetflix: Questions and Answers1. How strong are competitive forces confronting Netflix in the market for subscription video on demand? Do a five-forces analysis to support your answerTo a large extent, Porters five forces come in handy in efforts to not only assess, but also evaluate a business entitys competitive position and strength (Isami, Mustafa, and Latkovikj, 2020). For this reason, they could successfully be deployed in the case of Netflix to assess the strength of the competitive forces that Netflix is confronted by.To begin with, when it comes to threat of new entrants, the market that Netflix operates in happens to be largely profitable. This essentially means that it is likely to attract other players keen on claiming a piece of the pie. It would, however, be important to note that barriers to entry in this case happen to be rather significant in terms of the range of content that…...

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References

Hadida, A.L., Lampel, J., Walls, W.D. & Joshi, A. (2021). Hollywood studio filmmaking in the age of Netflix: a tale of two institutional logics. Journal of Cultural Economics, 45, 213-238.

Isami, X., Mustafa, N. & Latkovikj, M.T. (2020). Linking Porter’s generic strategies to firm performance. Future Business Journal, 6(3), 47-53.

Netflix (2020). Form 10k.  https://s22.q4cdn.com/959853165/files/doc_financials/2020/ar/8f311d9b-787d-45db-a6ea-38335ede9d47.pdf 

Wayne, M.L. (2017). Netflix, Amazon, and Branded Television Content in Subscription Video On-Demand Portals. Media Culture & Society, 40(5), 79-85.

Netflix and Machine Learning Machine Learning (ML) represents a data analysis technique involving automation of analytical model development. This segment of AI (artificial intelligence) is grounded in the notion that a system is able to learn using information provided, discern patterns, and engage in decision-making without much human involvement required. Owing to technological advancements in computing, contemporary ML differs from ML of earlier times. The concept traces its roots to pattern identification as well as the assumption that a computer is capable of learning how to carry out particular activities without the need to be programmed. Scholars with an interest in the field of AI desired to look into whether or not computers are able to learn from provided data. ML’s iterative element is vital due to the fact that, with exposure to novel data, models can adjust independently. They learn via prior computations to make consistent decisions and generate consistent outcomes.…...

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References

Gunipati, T. (2018, August 21). Applications of Data Science and Machine Learning in NETFLIX. Retrieved April 11, 2019, from

Plummer, L. (2017, August 21). This is how Netflix\\'s top-secret recommendation system works. Retrieved April 11, 2019, from https://www.wired.co.uk/article/how-do-netflixs-algorithms-work-machine-learning-helps-to-predict-what-viewers-will-like

Raphael, C. (2016, June 5). How Machine Learning Fuels Your Netflix Addiction. Retrieved April 11, 2019, from https://www.rtinsights.com/netflix-recommendations-machine-learning-algorithms/.

Wirth, K. (2018, May 03). Netflix Has Adopted Machine Learning to Personalize Its Marketing Game at Scale. Retrieved April 11, 2019, from https://www.entrepreneur.com/article/311931https://www.upgrad.com/blog/applications-of-data-science-and-machine-learning-in-netflix/

 

Netflix External and Internal Environments Netflix is a video rental store that was founded in 1997 in Scotts Valley, California by Reed Hasting and Marc Randolph. The corporation’s business model is centered on mailing DVDs to its customers as well as providing online rental of videos. For its mailing services, Netflix uses its 35 warehouses across the United States. Since its inception, the company has continued to leverage on technology to improve its services and offerings to customers. This has contributed to its increased success and profitability over the years despite the changing conditions in its market. A critical component that has contributed to Netflix’s success and profitability over the years is an understanding of its external and internal environment. This paper examines Netflix’s external and internal environments with regards to its general business environment, five forces model of competition, external threats and opportunities, strengths and weaknesses, resources, capabilities and competencies,…...

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References

Hitt, M.A., Ireland, R.D. & Hoskisson, R.E. (2015). Strategic management: Concepts, competitiveness and globalization (11th ed.). Stamford, CT: Cengage Learning.

Netflix. (2018). Company Profile. Retrieved October 30, 2018, from

Netflix. (2017). Form 10-K Annual Report. Retrieved October 30, 2018, from http://files.shareholder.com/downloads/NFLX/4336187475x0xS1628280-17-496/1065280/filing.pdf

https://www.netflixinvestor.com/ir-overview/profile/default.aspx

NETFLIX
Organizational changes by Netflix explained by evolutionary logic

Netflix: Organizational changes

The media climate is changing rapidly, particularly the ways in which people consume media. Netflix is attempting to change with the times. One of its most recent alterations to its policy has been its separation into two business units, with two distinct components. Its "physical disc mailings from Internet video, DVD-only subscriptions start at $7.99 per month, the same price as a streaming-only plan. But a monthly plan that combines physical DVDs with Web streaming costs almost $16 -- a 60% price increase" (Milian 2011). Customers were outraged at the prospect of having to choose between the two types of media or seeing their fees doubled.

More and more consumers are using the online format to watch movies and TV. However, "streaming program's convenience and ubiquity is sometimes overshadowed by its dearth of quality movies available for streaming, relative to those contained…...

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References

Gross, Doug. (2011). Customers fume over Netflix changes. CNN. Retrieved:

 http://www.cnn.com/2011/09/20/tech/web/netflix-reaction/index.html 

Milian, Mark. (2011). Netflix customers see red after price break. CNN. Retrieved:

 http://www.cnn.com/2011/TECH/web/07/13/netflix.pricing.protests/index.html?iref=allsearch

Accounting
Netflix Costs

Netflix is a well-known media company. The firm makes media content available to customers based on a monthly subscription fee. The main area of the business is the internet television network, with the company streaming media content such as television programs and films, to more than 44 million subscribers across more than 40 counties (Netflix, 2013). In addition the firm also has a DVD rental segment, sending out DVD's by post. This model of operation places the firm in the service sector; the service offered being the media distribution. The firm is divided into three segments; the postal rental business in the U.S., the domestic internet streaming business in the U.S. And the international streaming business.

The firm has an inventory; there is a physical inventory of the DVD that is sent out for the postal rental service. The digital content library is not a physical inventory, but they make…...

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References

Netflix, (2013), 10-k, accessed 18th May 2014 at  http://ir.netflix.com/ sec.cfm

Walther, L, M, (2012), Principles of Accounting, CreateSpace Independent Publishing Platform

This indicates that the company's business model is starting to resonate with consumers. It is too early, however, to determine if Netflix is going to achieve its objectives. Achieving its goals will probably take a decade or more, and there will be many critical strategic decisions between here and there. Thus, while Netflix has had success to date, it is difficult to assess at the time of the IPO whether or not Netflix will be successful.
Question 2.

The objective of the subscriber model is to bring in new customers with a month of free service, and then convert the free customer into a paying customer after that one month. The subscription model makes it easier for McCarthy to estimate revenues. With customers generally all paying the same price, the number of customers and the amount of revenue are tied to each other -- one only needs to estimate the number…...

Blockbuster NetFlix businesses failed succeeded While blueprint checklist follow guarantee success a business
When Netflix officially launched in the final years of the 20th century, Blockbuster was the undisputed king of movie rentals. The latter had operated since the early 1990s and was instrumental in supplying home entertainment to millions of people across the United States. Yet developments on the part of Netflix -- as well as those within the industry as a whole -- would singularly ensure the upstart's success while guaranteeing the latter's disaster due to organizational behavior on the part of both Blockbuster and Netflix.

It would be difficult to prove that both Netflix and Blockbuster did not have the same objectives -- to deliver quality entertainment to people in the form of movies that they could enjoy from the comfort of their homes. The companies had different visions on how to best achieve this end: Blockbuster believed it…...

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References

Aliano, T. (2009). Major theories of organizational behavior. www.bizcovering.com. Retrieved from http://bizcovering.com/management/major-theories-of-organizational-behavior/

Dierking, D. (2011). The fall of Blockbuster: a lesson on keeping your business. The Sun's Financial Diary. Retrieved from  http://www.thesunsfinancialdiary.com/personal-finance/fall-blockbuster-lesson-keeping-business-model-current/

Accounting
The trend in Netflix's contribution margin ratio over the past three years is as follows. The costs are the COGS plus 30% of other expenses. The remaining 70% of expenses are assumed to be fixed.

Netflix

evenue

Costs

Contribution

Contribution Margin

The contribution margin for Netflix is therefore lower than it was a couple of years ago. The long-term trend is tough to determine, but it seems that Netflix saw its contribution margin take a hit in 2012, only to begin the process of building it back in 2013. Or alternately, this new level is basically a "new normal" level for the company, with the higher level from 2011 unlikely to be reached again for the foreseeable future. Either is possible without knowing the reason why the contribution margin declined so much in 2012.

The breakeven point for Netflix given this is as follows:

Breakeven

Variable Costs

Fixed Costs

Breakeven evenue

What this means is that the company's breakeven revenue point has…...

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References

Arrington, W. (n.d.). Target Costing. Retrieved from www.freequality.org/documents/Training/Target%20Costing.pptx

Feil, P., Yook, K., and Kim, I (2004, Spring). Japanese Target Costing: A Historical Perspective. International Journal of Strategic Cost Management. Retrieved from http://economiceducation.us/dotAsset/785833.pdf

MSN Moneycentral. (2014). Netflix. MSN Moneycentral. Retrieved May 31, 2014 from  http://investing.money.msn.com/investments/stock-income-statement/?symbol=NFLX 

Tsorakidis, N. (2009). Break-Even Analysis. Retrieved from  http://bookboon.com/en/business/finance/break-even-analysis-1

Zara has managed to stay on top as a result of following a recipe that most would find to be in disagreement with rules that companies typically adopt in order to increase their profits. One of the most important reasons why Zara has experienced significant success in recent years is the fact that its products can be compared with much more expensive products designed by the world's greatest fashion icons. When compared to Gap, it seems that the Spanish company matured during the last few years while the American firm adopted risky and downright absurd strategies in an attempt to keep its place on the market.
The fact that Zara collected information directly from the masses and that it got its employees to play an active role during the process enabled it to design clothes that were, actually, in accordance with what people wanted. In contrast, Gap and a series of…...

Principles of Finance Netflix’s income statement showcases a company with rapidly growing revenues. In FY17, the company earned revenues of $11.7 billion, and this grew to $15.8 billion in 2018 and $20.1 billion in FY19. The company was only marginally profitable in 2016, but its profits have grown to nearly $1.9 billion in FY19. Again, this is strong growth, and would be viewed quite positively by investors. Indeed, the company’s earnings per share have grown from $1.25 to $4.13 over the past three years, a strongly positive trend.
In some cases, rapid growth comes on the back of steep increases in infrastructure costs, but Netflix has also seen a sharp increase in profits, and this is reflected on the company’s balance sheet. Netflix has seen its cash position more than double in the past couple of years, and its stockholder equity has doubled, as a result of the sharp increase in the…...

Equity Compensation at Netflix
State your study's hypothesis (include the clearly stated IV and DV)?

The dependent variable is the effect or the variable that is being elucidated. On the other hand, the independent variable is the explanatory variable or causal variable. The determination as to whether the variables are dependent or independent is centered on the context. In this case, I will be testing the hypothesis that if the payment system being undertaken by Netflix is fair, the employees are more probable to report and assert that they are satisfied. If the employees consider the payments are not fair, they will more probably assert that they are dissatisfied. In this case, the compensation equity, deemed to be paid fairly, is considered to be the variable that influences the level of satisfaction of the employees. Therefore, in this case, the independent variable is the compensation equity. On the other hand, the dependent…...

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References

Johnson, G. (2015). Research Methods for Public Administrators: Third Edition. New York: Routledge.

Ghazanfar, F., Chuanmin, S., Khan, M. M., & Bashir, M. (2011). A study of relationship between satisfaction with compensation and work motivation. International Journal of Business and Social Science, 2(1), 120-131.

Netflix is the leader in renting DVDs to its customers. When the customer returns one DVD, another is issued. Netflix gained a remarkable success but, on the other, it is facing some of the problems nowadays. Netflix charge a monthly fee from its customers and it has an agreement with the film studios. Due to this agreement, it pays the studios a specific amount from its revenue and this amount is paid on per issue rather than on monthly basis. Since film studios are observing dynamic growth of Netflix, it is likely that they will increase their share rate on per issue and since Netflix charge its customers on monthly basis, it is likely that a decline in its revenue will occur. For this, it should make an agreement of monthly profit sharing with the studios. Due to increase in technology, people do not prefer to rent a DVD; therefore,…...

Netflix Analysis
Industry Drivers

The intent of this analysis is to discuss the key industry drivers that are creating opportunities and threats for Netflix (NASDAQ: NFLX), in addition to defining the future of the mail-based and online movie rental subscription service. Competition from Video-On-Demand (VOD) services offered by cable television companies including Time Warner Cable, Comcast and others, combined with kiosk delivery network Redbox and the vertical integration of lockbuster are fundamentally reordering the industry today

(Netflix Investor Relations, 2013). Competition continues to accelerate as each of these competitors invest in research & development (R&D) to increase the performance and reliability of their individual services.

Of the myriad of economic factors that impact their business, Netflix senior management is most concerned and tracks through weekly reporting the level of consumer spending on entertainment in aggregate and for DVID, game and video rental specifically (Netflix Investor Relations, 2013). Additional external factors include time spent on…...

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Bibliography

MacCormack, A., Murray, F., & Wagner, E. (2013). Spurring innovation through competitions. MIT Sloan Management Review, 55 (1), 25-32.

Netflix Investor Relations (2013). Investor Relations. Retrieved November 14, 2013, from Netflix Investor Relations and Filings with the SEC Web site:  http://ir.netflix.com/ 

Papadimitriou, A., Symeonidis, P., & Manolopoulos, Y. (2012). A generalized taxonomy of explanations styles for traditional and social recommender systems. Data Mining and Knowledge Discovery, 24(3), 555-583.

Pham, H.X., & Jung, J.J. (2013). Preference-based user rating correction process for interactive recommendation systems. Multimedia Tools and Applications, 65(1), 119-132.

Netflix
The red ocean industry that I decided to cover is video rentals and the company chosen is Netflix. The company has succeeded in overwhelming major competitor Blockbuster through differentiation, in this case the use of the Internet as a distribution mechanism rather than storefronts. According to Kim and Mauborgne (2010), the six paths framework seeks to uncover a new open space for the firm. The six paths are:

"Looking across alternative industries instead of focusing on competing within an industry; looking across strategic groups within industries instead of a company confining itself to established strategic groups; looking across the chain of buyers instead of focusing on the same buyer group as the rest of the industry; looking across complementary products and services instead of a company limiting itself to the scope of an industry's products and services; looking across functional or emotional appeal to buyers instead of accepting an industry's functional…...

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Works Cited:

Dignan, L. (2011). Netflix's rough weekend: Sign of things to come. CNet. Retrieved October 29, 2011 from  http://news.cnet.com/8301-1023_3-20072648-93/netflixs-rough-weekend-sign-of-things-to-come/ 

Kim, W & Mauborgne, R. (2010). Six paths framework. Blue Ocean Strategy.com. Retrieved October 29, 2011 from  http://www.blueoceanstrategy.com/abo/Blue_Ocean_Strategy_Glossary_Lookup.php?Term=six-paths-framework 

Kim, W. & Mauborgne, R. (2010). 3 tiers of noncustomers. Blue Ocean Strategy.com. Retrieved October 29, 2011 from  http://www.blueoceanstrategy.com/abo/noncustomers.html 

Kim, W. & Mauborgne, R. (2010). 4 actions framework. Blue Ocean Strategy.com. Retreived October 29, 2011 from  http://www.blueoceanstrategy.com/abo/4_action.html

CSR, or corporate social responsibility, refers to the idea that companies should hold themselves accountable for how their policies and procedures impact the greater world at large.  CSR does not have a single definition, because it is tailored to each individual company and that company’s view of how they act in a responsible position.  CSR is self-regulating, insofar as it is not imposed by outside forces, at least in terms of being regulated; outside forces, such as client decisions to purchase products or services, competitor responses to corporate policies, or business partner....

When writing an argumentative essay, you are encouraged to take strong positions that might not be appropriate in other types of academic writing.  This is especially true when you are crafting your hook, which is a dramatic statement, usually a sentence or two, designed to capture the reader’s interest and get them interested enough to read the rest of the essay.  You might find this type of task challenging when focusing on a topic like zoos.  However, if you consider how popular the Netflix Series Tiger King was in the summer of....

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Technology has had a significant impact on the culture of Japan. The country is known for its embrace of cutting-edge technology, which has influenced many aspects of daily life and society. From the use of high-speed trains and advanced robotics to the popularity of video games and anime, technology has become deeply intertwined with Japanese culture.

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