Netflix SWOT Analysis And Value Chain Analysis: Netflix

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Register to read the introduction… With just a little bit of timing, customers can have movies coming and going so as to almost always have a movie ready to watch. Add the recommendation engine for additional suggestions along with streaming and strong customer support, and you've got a pretty good experience generating loyal and enthusiastic customers * Market Share leader

Netflix holds top leadership in regards to their total market share of the on-line movie rental industry. * Streaming capability.

A benefit of having any monthly plan costing at least $7.99, are for those nights when the random urge takes you. Plus, Netflix streaming is available on many different consumer electronic devices and is becoming a standard feature for new TVs. * Key
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They can limit the traffic traveling over their lines, favoring their own stuff over Netflix's.

Netflix Value Chain Analysis

The Value Chain analysis for Netflix is a powerful tool for managers to identify the key activities within the firm, which form the value chain for this specific organization, and have the potential of a sustainable competitive advantage. Therefore the term 'competitive advantage' Netflix's case lies in its ability to perform crucial activities along the value chain better than its competitors.

Primary Activities

1. Inbound logistics

* With Regards to its supply chain, Netflix is partners with the industries studios, which helps gain a better selection and have higher availability rates so more titles are in stock than the competition. * Netflix partners with suppliers such as Best Buy, Samgoody.com, and Amazon.com in order to reduce costs relative to competitors. These alliances provide access to valuable technologies, and core competencies. * The company has few operational strategies due to the fact that they are online. However, in order to ensure that their discs are in satisfactory condition for consumers they have put certain standards in place which these suppliers must adhere to (The Supplier Guiding Principles). * Netflix has proven quality control systems, proprietary technology and cutting-edge supply chain management capabilities, quickness in responding to shifting market

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