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Swot Analysis Of Netflix

883 Words4 Pages

NETFLIX

Netflix was founded in 1997 as a DVD-rental-by-email service (Netflix, Netflix: Long-Term View 2017). Reed Hastings and the co-founder Marc Randolph seized the opportunity immediately after they understood that the population would become more and more indolent. Thus, people’s willingness to travel back and forth to a video store started to change. Even though the company struggled in its first five years to develop a sustainable model that was profitable, its founders never gave up, strongly believing that Netflix could be the next innovative step in how people would watch content (Lusted 2013). The company began streaming in the US in 2007 and internationally in 2010, but only in 2016 began to operate globally (Netflix, Netflix: Long-Term View 2017). Not only did Netflix expand to 130 new territories in early 2016, but also added more than 12 million new subscribers in the year’s first nine months and increased its number of paying costumers to approximately 87 million without those clients who share their accounts (Barker and Wiatrowski 2017). To put it differently, Netflix is available virtually everywhere except in China where the company plans to license its content in the upcoming years (Netflix, Netflix: Long-Term View 2017).

Netflix offers its streaming service through three different membership plans, which give costumers the opportunity to enjoy unlimited viewing of its wide-variety of content such as award-winning TV shows, movies and documentaries on

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