How does netflix acquire content in the vod business

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Reference no: EM133463860

Questions:

1. List two of Blockbuster's core resources (other than its "Brand") before Netflix entered. Offer a brief explanation for why each one is a core resource.

2. Describe the technological environment under which Netflix entered the market. What key technological change does Netflix take advantage of to neutralize Blockbuster's resource advantage?

3. Compare and contrast Blockbuster and Netflix's eventual approach to "New Releases" versus older movies. Given the high cost of acquiring the new releases, which approach is likely to achieve higher profits?

4. Characterize Netflix's strategy (e.g., their theory about how they are going to succeed) before they decide to go to Video-On-Demand (VOD). What was their theory about how they were going to succeed?

5. Before Netflix decides to enter VOD, what are their core resources and capabilities?

6. Which of Netflix's core resources and capabilities will VOD render obsolete? Which will continue to have value within VOD?

7. Based on this article: How does Netflix acquire content in the VOD business?

8. In the DVD-By-Mail business, the "Right of First Sale" applied, but not in the VOD business. What does this difference mean for the cost of scaling (e.g., the cost of people watching more movies or more of a given movie) in VOD versus the DVD-By-Mail business?

Reference no: EM133463860

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