Essay Available:
You are here: Home → Research Paper → Business & Marketing
Pages:
2 pages/≈550 words
Sources:
Level:
MLA
Subject:
Business & Marketing
Type:
Research Paper
Language:
English (U.S.)
Document:
MS Word
Date:
Total cost:
$ 8.64
Topic:
The Rise of Netflix and the fall of Blockbuster (Research Paper Sample)
Instructions:
Project description
The four R's may seem overly simplistic, but if the right product is not in the right place (the store you go to), at the right time (when you need it), at the right price (what you are willing to pay), then most likely you won't buy it. If companies can't get you to buy their product they go out of business.
Consider, for example, the recent decline in movie rental stores. With the increase of internet streaming services and cheaper services like Red Box, Hollywood Video and Blockbuster have lost a lot of business.
For your initial post for this discussion, pick one of the four R's and explain either where video rental stores failed to implement it, or how a new service did it better.
Content:
Name
Tutor
Course
Date
The Fall of Blockbuster and the Rise of Netflix
Founded in 1985, Blockbuster dominated the video rental industry for close to two decades after its formation. In 1990s, Blockbuster chains were the leading giants in the industry, enjoying more than half of the overall market share (danielwatrous.com). In 2000s, however, the company's prominence began to decline due to increased competition from its rivals. Meanwhile, one of its closest competitors, Netflix, was growing rapidly overtaking Blockbuster as the market leader. By 2010, Blockbuster filed for a bankruptcy declaration in the effort to salvage its sinking ship. Nevertheless, its performance continued to dwindle over the next two years, leading to the closure of its last store in 2013. Did Netflix take advantage of Blockbuster's mistake to force it out of the market? This essay evaluates how Netflix worn against Blockbuster by providing their products at the right place.
Although Netflix was founded at such a time when Blockbuster ruled the market, it identified an opportunity that Blockbuster had not utilized. In 2002, Netflix launched a DVD-mailing service that delivered videos to its clients through the mail. Their customers were overwhelmed by the service since it increased the place utility of the movies. Customers were no longer required to visit a movie rental shop to get the service as movies would find them right in their homes. As a result, the newly formed Netflix increased its customer base from 600,000 to over 3 million within a period of 2 years (danielwatrous.com). On the other hand, Blockbuster was adamant to introduce DVD mailing service until 2004. By the time Blockbuster introduced its mail-in service, Netflix had already built customer’s loyalty. For this reason, Blockbuster’s mail-in service did not influence Netflix’s thriving business in DVD mailing.
Clearly, Netflix out did Blockbuster by providing DVDs at the convenient place for the custome...
Tutor
Course
Date
The Fall of Blockbuster and the Rise of Netflix
Founded in 1985, Blockbuster dominated the video rental industry for close to two decades after its formation. In 1990s, Blockbuster chains were the leading giants in the industry, enjoying more than half of the overall market share (danielwatrous.com). In 2000s, however, the company's prominence began to decline due to increased competition from its rivals. Meanwhile, one of its closest competitors, Netflix, was growing rapidly overtaking Blockbuster as the market leader. By 2010, Blockbuster filed for a bankruptcy declaration in the effort to salvage its sinking ship. Nevertheless, its performance continued to dwindle over the next two years, leading to the closure of its last store in 2013. Did Netflix take advantage of Blockbuster's mistake to force it out of the market? This essay evaluates how Netflix worn against Blockbuster by providing their products at the right place.
Although Netflix was founded at such a time when Blockbuster ruled the market, it identified an opportunity that Blockbuster had not utilized. In 2002, Netflix launched a DVD-mailing service that delivered videos to its clients through the mail. Their customers were overwhelmed by the service since it increased the place utility of the movies. Customers were no longer required to visit a movie rental shop to get the service as movies would find them right in their homes. As a result, the newly formed Netflix increased its customer base from 600,000 to over 3 million within a period of 2 years (danielwatrous.com). On the other hand, Blockbuster was adamant to introduce DVD mailing service until 2004. By the time Blockbuster introduced its mail-in service, Netflix had already built customer’s loyalty. For this reason, Blockbuster’s mail-in service did not influence Netflix’s thriving business in DVD mailing.
Clearly, Netflix out did Blockbuster by providing DVDs at the convenient place for the custome...
Get the Whole Paper!
Not exactly what you need?
Do you need a custom essay? Order right now:
Other Topics:
- Career Plan Research PaperDescription: The paper outlines various careers, what they do, compensation, work environment,education and job outlook and prospects....4 pages/≈1100 words| MLA | Business & Marketing | Research Paper |
- Final Report on Jo-Ann Fabric and Craft StoresDescription: Reading the reviews from shoppers across the nation, there are a lot of disgruntled clients pulling out of the Jo-Ann Stores’ loyalty circle...3 pages/≈825 words| MLA | Business & Marketing | Research Paper |
- Price DiscriminationDescription: The introduction of Aloe Vera soap in the market has faced stiff competition from other soap producing companies...1 page/≈275 words| MLA | Business & Marketing | Research Paper |
