Signature Assignment: Strategic Plan: Implementation Plan, Strategic Controls, and Contingency
Plan Analysis
BUS/475
October 23, 2017
Robert Stokes
, Strategic Plan Part I: Proposal of a New Division
Introduction
Netflix was founded by Reed Hastings and Marc Randolph in 1997. Initially the company
specialized in DVD sales and rentals. Fast-forward ten years later and Netflix is pioneering &
dominating the entertainment internet streaming service industry, while still maintaining their
DVD by mail service. According to “Netflix: Overview” (n.d.), “Netflix is the world’s leading
internet entertainment service with 104 million members in over 190 countries enjoying more
than 125 million hours of TV shows and movies per day, including original series, documentaries
and feature films” (). Although Netflix is the world’s leading entertainment service provider. It is
paramount that they always strive to remain dominant, innovative, and provide quality service
for their consumers. My new product proposal would build on the company’s vision, mission,
and values. As well as offer a new innovative service that would bring in additional consumers
and revenue.
New Product
, Netflix founders, Reed Hasting & Marc Randolph made it a lot easier for consumers to
rent DVD’s. By sending them right to their door steps via mail. Prior to Hasting and Randolph’s
invention of Netflix. Customers who wanted to watch or rent movies had to drive to a video
rental store, stand in long lines, and then be told the movies they wanted were out. In addition,
there were ridiculous late fees associated with late returns. Netflix capitalized on theses flaws
and made it easier for consumers to get what they wanted, without any hassle or ridiculous fees.
That is why it became one of the most successful movie streaming businesses and on top of the
others (Wang, Ucilia, 2014). Netflix’s new innovative service and advancing technology, are
some of the factors that are said to be linked to the subsequent bankruptcies of mega video rental
stores such as: Blockbuster and Hollywood Videos. This is ironic because, Hasting is often
quoted as saying that he started Netflix after being fined $40 for a late fee at Blockbuster
(O’Neil, 2011).
My new product would again re-invent how customers would watch and stream new
theater movies. My new product proposal would be ‘Netflix Home Theater’. This new product
would allow our customers to stream new theater movies from the comfort of their own homes at
one low monthly affordable price. This product is customer focused because there are so many
consumers that enjoy watching new theater movies. This can be proven by the fact that just under
1.2 billion movie tickets were sold in the U.S alone in 2016 ("Film and Movie Industry -
Statistics & Facts", n.d.). Although Netflix does not have an official mission statement. CEO
Reed Hastings has laid out a clear vision for the future of Netflix, a Promise, and nine Values.
Hastings vision entails: becoming the best global entertainment service, licensing entertainment
content around the world, creating accessible markets to film makers, and helping content
creators around the world find an audience (Weinberger, 2016). The mission statement for
Plan Analysis
BUS/475
October 23, 2017
Robert Stokes
, Strategic Plan Part I: Proposal of a New Division
Introduction
Netflix was founded by Reed Hastings and Marc Randolph in 1997. Initially the company
specialized in DVD sales and rentals. Fast-forward ten years later and Netflix is pioneering &
dominating the entertainment internet streaming service industry, while still maintaining their
DVD by mail service. According to “Netflix: Overview” (n.d.), “Netflix is the world’s leading
internet entertainment service with 104 million members in over 190 countries enjoying more
than 125 million hours of TV shows and movies per day, including original series, documentaries
and feature films” (). Although Netflix is the world’s leading entertainment service provider. It is
paramount that they always strive to remain dominant, innovative, and provide quality service
for their consumers. My new product proposal would build on the company’s vision, mission,
and values. As well as offer a new innovative service that would bring in additional consumers
and revenue.
New Product
, Netflix founders, Reed Hasting & Marc Randolph made it a lot easier for consumers to
rent DVD’s. By sending them right to their door steps via mail. Prior to Hasting and Randolph’s
invention of Netflix. Customers who wanted to watch or rent movies had to drive to a video
rental store, stand in long lines, and then be told the movies they wanted were out. In addition,
there were ridiculous late fees associated with late returns. Netflix capitalized on theses flaws
and made it easier for consumers to get what they wanted, without any hassle or ridiculous fees.
That is why it became one of the most successful movie streaming businesses and on top of the
others (Wang, Ucilia, 2014). Netflix’s new innovative service and advancing technology, are
some of the factors that are said to be linked to the subsequent bankruptcies of mega video rental
stores such as: Blockbuster and Hollywood Videos. This is ironic because, Hasting is often
quoted as saying that he started Netflix after being fined $40 for a late fee at Blockbuster
(O’Neil, 2011).
My new product would again re-invent how customers would watch and stream new
theater movies. My new product proposal would be ‘Netflix Home Theater’. This new product
would allow our customers to stream new theater movies from the comfort of their own homes at
one low monthly affordable price. This product is customer focused because there are so many
consumers that enjoy watching new theater movies. This can be proven by the fact that just under
1.2 billion movie tickets were sold in the U.S alone in 2016 ("Film and Movie Industry -
Statistics & Facts", n.d.). Although Netflix does not have an official mission statement. CEO
Reed Hastings has laid out a clear vision for the future of Netflix, a Promise, and nine Values.
Hastings vision entails: becoming the best global entertainment service, licensing entertainment
content around the world, creating accessible markets to film makers, and helping content
creators around the world find an audience (Weinberger, 2016). The mission statement for
