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Strategy and Business Analysis

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• What kind of company is Netflix, how would explain their business model?
• In your opinion what is the dynamics of a company like Netflix?
• What is the organizational Culture of Netflix?
• What is the Organizational behavior of Netflix, what would you say is their organizational behavior problem?
• What would you say is the organizational behavior opportunity?
• In the case of the organizational behavior problem of a company like Netflix what course of action would you recommend in addressing the problem?
• In the case of the organizational behavior opportunity for Netflix what course of action would you recommend in addressing the organizational behavior opportunity?
• Do believe that Netflix has a future or will they eventually slowly phase out of business like Blockbuster Video.

Discussion Questions:
Scenario An affluent family has appreciated stock and real estate. It constitutes substantial wealth but also contributes to estate planning problems during the current year. The parents have a long-standing interest in affordable housing and would like to take an active role in supporting the community. They would also like to get their adult children involved in philanthropy.
* What advice would you offer to this family?

The Balance Scorecard is a measurement based management system that incorporates feedback loops through the internal business functions and around the external outcomes of those functions. Employee measures should watch employee's attitudes, ethical conduct, feelings, knowledge, and skill. Articulate clear cause-and-effect relationships to show how each collectively leads to the company vision measures. Once a balanced scorecard system is implemented the scorecard must be updated with current business governance, departmentally relevant information or it will be useless. There must be a system for collecting relevant information and relaying feedback to all organizational members.
* Do you believe an employee's personal information should be available to all organizational leadership or availability should be given to those managers that need access to the information to conduct there departmental operational activities? Consider the increase in identity theft?

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Solution Summary

Organizational culture and dynamics of Netflix company are evaluated. Questions related to philanthropy and personal privacy are discussed.

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• What kind of company is Netflix, how would you explain their business model?
Netflix is a provider of on-demand internet streaming media and flat rate DVD by-mail in U.S. The strength of its business model comes from flat-fee unlimited rentals without due dates, late fees, shipping and handling fees, or per title rental fees. The streaming media through netflix.com is available to viewers in North and South America, the Caribbean, and some parts of Europe. The company has 33 million subscribers in 40 countries that can download movies or rent DVDs for a monthly fee through its website. Movies are delivered via the US Postal Service from distribution centers located in major US cities or streamed to some 800 devices including PCs and TVs.

• In your opinion what is the dynamics of a company like Netflix?
In my opinions Netflix caters people what they really want. While other streaming media companies rarely recommends their customers the movies they really like, Netflix has much better recommendation system to fine tune what it suggests goes into our queue, and it's developing the algorithm with deep learning techniques.

• What is the organizational Culture of Netflix?
Netflix's corporate culture is built on freedom and responsibility. The company hires develops and cuts smartly. It motivates its employees with better salaries and promotions and expects very high performance from them. Managers at Netflix see the company like a pro sports team, not a family. Employees at Netflix should assist each other all the time in order to achieve goals. Internal "cutthroat" or "sink or ...

Solution provided by:
Umut Oltulu, MBA
Education
  • BSc, Dokuz Eylul University
  • MBA, Texas A&M University-Kingsville
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