Question

In: Economics

Identify the biggest challenges that are facing Netflix and provide recommendations for the management team?

Identify the biggest challenges that are facing Netflix and provide recommendations for the management team?

Solutions

Expert Solution

Biggest challenges that are facing netflix are-

1. Maintaining new subscriber growth - maintaining new subscriber growth is one of to biggest challenge faces by Netflix as it is still obsessed over data point for some of the netflix investors but netflix is moving on aggressively in the international market to maintain its growth in subscribers

2. increasing competing - netflix is facing huge competition from Amazon prime, free services provided by youtube and most by the disney.

Recommendation for the management

1. Though due to increasing competition netflix need to maintain its subsribers but as Netflix is paying more and more to gain new susbribers is also one the reason that Netflix is facing doom hence they should pay upto that amount that they get the returns atleast to the break even point.

2. The team management need to be ready to face the challenge of thr fast moving world .they dhoukde solve these problem with discipline not with process


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