Remember the old brick-and-mortar movie rental services? You drove to the physical location, scanned shelves for...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Remember the old brick-and-mortar movie rental services? You drove to the physical location, scanned shelves for your movie of choice (too frequently, it wasn't in), paid the clerk, and left. The flick was due back in 24 hours (or, at most, 3 to 5 days later), or you were billed a hefty late fee. In some cases, forgetful customers answered the door to find a police officer asking why they hadn't returned a rental movie. Movie rental stores still exist but in quickly dwindling numbers. Many alternatives have spawned, beginning with Netflix, the first and now the world's largest online movie service. Though originally started as a mail-order DVD rental service, Netflix has rapidly embraced the streaming video market. As of April 2020, Netflix offered its 183 million subscribers in more than 190 countries tens of thousands of movie and television titles and, in 2020, accounted for 12.6 percent of all downstream web traffic, having a large enough impact on global networks that regulators asked Netflix to reduce streaming quality (thus reducing demand on the web) during the COVID-19 pandemic. Though Netflix continues to battle rising costs as movie and TV studios raise their licensing fees, the company continues to dominate in the streaming market. Other competitors have entered the market as well. Amazon's Prime subscription service, in addition to providing discounts on fast shipping for all products, provides subscribers access to a vast library of movie and TV content. This content is available to users via mobile devices, smart televisions, computers, and even set-top boxes. Apple and Google also compete in this space, though currently with a slightly different approach. iTunes has long been the leader in digital music distribution, and Apple moved seamlessly to movie and TV distribution as those became popular. The distinction from the Netflix and Amazon models is that iTunes provides a rental and purchasing marketplace, where customers can pay for temporary rights to a movie (rental) or may pay a higher price to purchase the movie for indefinite ownership. The Google Play store uses a similar rental/purchase model. The advantage of this model is that movie and TV studios are much more willing to participate in this type of distribution (which mirrors physical movie and TV distribution and the accompanying revenues). As a result, these marketplaces typically provide the latest, most popular movies. In contrast, a drawback of Netflix and Amazon's streaming services is their limited selection of popular or recent titles, as their streaming libraries are dependent on content deals they have made with individual studios. One of the major advantages to these digital video distribution services is their ability to personalize a customer's experience to a degree previously not possible. These personalized services learn about a user's preferences according to the movies they frequently watch. From this data, the company creates a profile of each customer and a list of recommended movies. If, for example, a customer liked the movie Prometheus, he or she may also like the 1979 sci-fi classic Alien, and that movie will be included in a list of suggested movies. Customers can refine the recommendations by rating titles according to their preferences. These systems allow customers to tap large databases of movies, many of which they may not have been aware of at all. Consider how fast things are changing. Just a few years ago, the only way to watch a movie other than paying to purchase it was to drive to a movie rental store like Blockbuster or Hollywood Video and pay to borrow a DVD for a few days. Today, that same entertainment can be obtained via any computer or mobile device or through an increasing number of "connected" TVs, Blu-ray players, or small video-streaming devices like the Amazon FireTV, Roku, AppleTV, or Google's Chromecast. These services and devices have completely disrupted the movie rental business. Hollywood Video, once a major competitor to Blockbuster Video with stores all over the United States, declared bankruptcy in 2010 and closed all of its stores. Blockbuster Video slowly bled customers until it, too, declared bankruptcy in 2010. 1. 2. 3. Questions In what ways has technology enabled the transformation of the video industry? Why do you prefer one video streaming platform over another? How will technology and the public's appetite for on-demand, streaming video change the cable television industry in the coming years? Discuss whether and how Netflix or Amazon can continue to grow their business and revenues in the streaming video market. Remember the old brick-and-mortar movie rental services? You drove to the physical location, scanned shelves for your movie of choice (too frequently, it wasn't in), paid the clerk, and left. The flick was due back in 24 hours (or, at most, 3 to 5 days later), or you were billed a hefty late fee. In some cases, forgetful customers answered the door to find a police officer asking why they hadn't returned a rental movie. Movie rental stores still exist but in quickly dwindling numbers. Many alternatives have spawned, beginning with Netflix, the first and now the world's largest online movie service. Though originally started as a mail-order DVD rental service, Netflix has rapidly embraced the streaming video market. As of April 2020, Netflix offered its 183 million subscribers in more than 190 countries tens of thousands of movie and television titles and, in 2020, accounted for 12.6 percent of all downstream web traffic, having a large enough impact on global networks that regulators asked Netflix to reduce streaming quality (thus reducing demand on the web) during the COVID-19 pandemic. Though Netflix continues to battle rising costs as movie and TV studios raise their licensing fees, the company continues to dominate in the streaming market. Other competitors have entered the market as well. Amazon's Prime subscription service, in addition to providing discounts on fast shipping for all products, provides subscribers access to a vast library of movie and TV content. This content is available to users via mobile devices, smart televisions, computers, and even set-top boxes. Apple and Google also compete in this space, though currently with a slightly different approach. iTunes has long been the leader in digital music distribution, and Apple moved seamlessly to movie and TV distribution as those became popular. The distinction from the Netflix and Amazon models is that iTunes provides a rental and purchasing marketplace, where customers can pay for temporary rights to a movie (rental) or may pay a higher price to purchase the movie for indefinite ownership. The Google Play store uses a similar rental/purchase model. The advantage of this model is that movie and TV studios are much more willing to participate in this type of distribution (which mirrors physical movie and TV distribution and the accompanying revenues). As a result, these marketplaces typically provide the latest, most popular movies. In contrast, a drawback of Netflix and Amazon's streaming services is their limited selection of popular or recent titles, as their streaming libraries are dependent on content deals they have made with individual studios. One of the major advantages to these digital video distribution services is their ability to personalize a customer's experience to a degree previously not possible. These personalized services learn about a user's preferences according to the movies they frequently watch. From this data, the company creates a profile of each customer and a list of recommended movies. If, for example, a customer liked the movie Prometheus, he or she may also like the 1979 sci-fi classic Alien, and that movie will be included in a list of suggested movies. Customers can refine the recommendations by rating titles according to their preferences. These systems allow customers to tap large databases of movies, many of which they may not have been aware of at all. Consider how fast things are changing. Just a few years ago, the only way to watch a movie other than paying to purchase it was to drive to a movie rental store like Blockbuster or Hollywood Video and pay to borrow a DVD for a few days. Today, that same entertainment can be obtained via any computer or mobile device or through an increasing number of "connected" TVs, Blu-ray players, or small video-streaming devices like the Amazon FireTV, Roku, AppleTV, or Google's Chromecast. These services and devices have completely disrupted the movie rental business. Hollywood Video, once a major competitor to Blockbuster Video with stores all over the United States, declared bankruptcy in 2010 and closed all of its stores. Blockbuster Video slowly bled customers until it, too, declared bankruptcy in 2010. 1. 2. 3. Questions In what ways has technology enabled the transformation of the video industry? Why do you prefer one video streaming platform over another? How will technology and the public's appetite for on-demand, streaming video change the cable television industry in the coming years? Discuss whether and how Netflix or Amazon can continue to grow their business and revenues in the streaming video market.
Expert Answer:
Answer rating: 100% (QA)
1 Technologys Impact on Video Industry Transformation Personalization Advanced algorithms analyze viewing habits creating personalized recommendations ... View the full answer
Related Book For
Taxation Of Individuals And Business Entities 2016
ISBN: 9781259334870
7th Edition
Authors: Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver
Posted Date:
Students also viewed these general management questions
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
Three components can be used to build an Oracle statement: Statement, Prepared-Statement and CallableStatement.(True/False)
-
Spring Fresh produces premium bottled water. Spring Fresh purchases artesian water, stores the water in large tanks, and then runs the water through two processes: filtration and bottling. During...
-
Add or subtract and, if possible, simplify. 4 + 4 + + 4
-
A plastic rod is rubbed with wool, producing a distribution of positive and negative surplus charge that is concentrated in two locations on the rod and two on the wool. This distribution can be...
-
Parkland Department Store is located near the Lyndale Shopping Mall. At the end of the companys fiscal year on December 31, 2012, the following accounts appeared in its adjusted trial balance....
-
6.Max Co is a large multinational company which expects to have a $10m cash deficit in one month's time. The deficit is expected to last no more than two months. Max Co wishes to resolve its...
-
Consider the unadjusted trial balance of Burrows Landscaping at December 31, 2023, and the related month-end adjustment data: The following adjustments need to be made on December 31 before the...
-
writing about a half day of exercises to improve interdepartmental communication skills and the information surrounding how it will improve the teams, how you will be coaching/teaching the plan, and...
-
Methane gas (CH4) enters a heat treatment furnace operating in steady state at 25C and 1 atm pressure and reacts with 140 % theoretical air of the same temperature and pressure. Combustion products...
-
A Company is considering two mutually exclusive projects. Project K will require an initial cash investment in machinery of 2,68,000. It is anticipated that the machinery will have a useful life of...
-
Santa Klaus Toys just paid a dividend of $3.90 per share. The required return is 11.2 percent and the perpetual dividend growth rate is 3.5 percent. What price should this stock sell for five years...
-
Hana is considering investing in either two outstanding bonds. Bond A pays interest annually and bond B pays interest semiannually. The current selling price for bond A is RM1,100 and bond B is...
-
Queen, one of the directors of Queen Ltd. ("Queen"), worked in the clothing industry in the USA for a period of 10 years and has built strong relations with some of the large international fashion...
-
Russell and Sons, a CPA firm, established the following standard labor cost data for completing what the firm referred to as a Class 2 tax return. Russell expected each Class 2 return to require 3.2...
-
For the next several days, take notes on your listening performance during at least a half-dozen situations in class, during social activities, and at work, if applicable. Referring to the traits of...
-
Carrie D'Lake, Reed A. Green, and Doug A. Divot share a passion for golf and decide to go into the golf club manufacturing business together. On January 2, 2015, D'Lake, Green, and Divot form the...
-
Javier and Anita Sanchez purchased a home on January 1, 2015, for $500,000 by paying $200,000 down and borrowing the remaining $300,000 with a 7 percent loan secured by the home. The loan requires...
-
XYZ is a calendar-year corporation that began business on January 1, 2015. For 2015, it reported the following information in its current year audited income statement. Notes with important tax...
-
The following accounts and amounts (balances are normal balances) were taken from the records of Prider Manufacturers Ltd at 30 June 2019. Required (a) Prepare a cost of goods manufactured statement...
-
The following data were taken from the records of Manik Manufacturing Ltd for the year ended 30 June 2019. Required (a) Prepare the cost of goods manufactured schedule for the year ended 30 June...
-
The following demonstration problem illustrates the use of the general journal, the four special journals introduced here, and the general ledger with two subsidiary ledgers. Sidney Carton began...
Study smarter with the SolutionInn App