Group G: Anna Zeng

Who’s Watching?

Dr. Conrad R. Richards

Group G

Kids

Add Profile

TABLE OF CONTENTS

• Introduction of Netflix
• External Environment of the Firm
• Corporate-Level Strategy
• Strategic Leadership

WHAT IS NETFLIX?

• They are a subscription based streaming service with unlimited viewing and a variety of genres and languages
• TV Shows
• Movies
• Anime
• Documentaries
• Founded in 1997 for selling and renting their DVDs and expanded to online streaming in 2007
• Headquartered in Los Angeles, California
• The world’s leading entertainment industry with approximately 222 million subscription accounts
• Conducts their business in over 190 countries

​

SWOT Analysis

• Strengths:
• Their innovative technology allow subscribers to access their favorite shows, movies, and other contents from any device
• Watching with no commercials
• No commitment to watch
• Play, Pause, and Resume option so you don’t lose your spot
• Originals that is produced from their Netflix Studios
• Features in watching on devices such as lock screen or when you idle for too long it will ask if you are still watching

​

​

​

EXTERNAL ENVIRONMENT OF THE FIRM

• Weaknesses
• There are other sources of entertainment and changes are constantly made with accessibility
• Opportunities:
• Expand their business to better combat competition in the entertainment industry
• As they have already launched Netflix Games in the U.S.
• Threats:
• Netflix is not the only streaming service provider out there
• Competitors: Disney+, Hulu, Youtube TV, Amazon Prime and more
• Prices being the main concern for consumers
• You can always go to illegal websites or find somewhere that has the content for free

​

EXTERNAL ENVIRONMENT - CONTINUED

PORTER’S FIVE FORCES

Industry Competitors

Rivalry Among Existing Firms

Buyers

Medium – High

• Easily go to different Streaming Provider and access Content catered to them

​

Potential Entrants

Suppliers

Low – Medium

• Considering that they have not fully shifted to an all Netflix Originals Platform
• Still need Licensing

​

Substitutes

High

• Go to free online websites to access movies they want to see
• Pay per view content

​

​

Low

• Streaming industry is extremely competitive

CORPORATE-LEVEL STRATEGY

•  Netflix is heavily reliant on Internet Service Providers
• Created a program to support large and small ISPs
• Directly interconnect viewers to Netflix’s Platform
• Eliminating extra costs from having the at-home experience with ease

​

• New steam of business of having their own studios to produce Netflix Originals
• In every region so they are able to produce content that is suited to viewers
• “Netflix Preferred Fulfillment Partners (NPFPs) to provide an exceptional level of service to licensed content providers… Netflix Preferred Fulfillment Partners know our delivery specification inside & out and are excellently equipped to meet the challenges and demands of providing licensed content to Netflix” (Netflix)
• Eliminated their licensing costs and supplier power in interfering with business

​

• Managers are expected to be Role Models of company’s policies and values
• Managers are also encouraged to tailor strategies to various subgroups of employees
• In doing do, better equipped for employees; distinct needs and provide better support
• Leadership promotes collaboration and autonomy
• Policies that nurtures a culture of trust and enables employees to focus on the tasks at hand and facilitating innovation

​

​

STRATEGIC LEADERSHIP

• Netflix uses execution empowerment in employees to act
• Freedom
• Respect
• Collaboration
• Simplifying processes
• Information sharing
• Autonomy structure for employees
• Little supervision
• Leads to arrogance
• Confidentiality risks
• Ill-informed decision making

​

STRATEGIC LEADERSHIP – CONTINUED

THANK YOU!