Pros And Cons Of Vertical Integration For Netflix

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There are numerous pros to vertically integration for Netflix. The major pro that would be gain of variety in the programming options. Numerous sources claim that the ability to offer continued diversity is pivotal to the long-term success of Netflix. Which would be directly recognized by acquired movie studios and cable networks. This would also limit the dependency on third-party programming supplies that could strain their profits and ultimately put Netflix out of business. However, there is a colossal con to actually owning and producing their own programming, which is the financial and operational risk taken on (Hickey, 2015). The current model of sourcing programming from third-parties limits the financial risk of flopped movies or television

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