In: Operations Management
The main and important issue in this case is that Netflix is overcoming huge sales volume compared to Gap. If we compare the two stores next to each other, they are both fashion retailers where clothes are made in Europe. The main difference is in style. Gap fashion is trendy but seasonal while netflix is in real time and is now fashionable . Gap's customer base is mostly in the United States, where Netflix's customers are based in Europe. Both are also available online, but GAP has eight times more stores in the brick and mortar sector. Netflix continues to grow as Gap loses market share and sales. Netflix has built a reputation around her brand that embodies a sense of urgency or urgency for buyers who are under pressure to buy a product when they see or lose the opportunity to buy it because the product will not be on the shelf. Next week. You see, Netflix changes stocks every two weeks and the production cycle is short. On the other hand, the deepest will have the same product for at least three months or throughout the season.
Netflix's original business model included ticket sales and DVD
rentals, but Hart stopped selling about a year after the company
was formed to focus on the original DVD rental business. Netflix
expanded its business in 2007 with the introduction of streaming
media, DVD and Blu-ray businesses for rent. The company expanded
internationally in 2010 with coverage in Canada, then Latin America
and the Caribbean. Netflix entered the content industry in 2013,
officially launching its first video house.
Since 2012, Netflix has played an increasingly active role as a
producer and distributor of movies and television series, offering
a wide range of original Netflix content through its online
library. As of January 2016, Netflix is available in more than
190 countries. Netflix released about 126 series and original
movies in 2016, more than any other network or cable network. Their
efforts to create new content, secure additional content rights and
diversify in 190 countries have resulted in billions of debt
collection companies: $ 21.9 billion as of September 2017, up from
16.8 Billion dollars last year. . The $ 6.5 billion is long-term
debt and the rest is long-term debt. In October 2018, Netflix
announced it would raise an additional $ 2 billion in debt to help
fund new content. On July 10, Netflix became the largest
entertainment / media company on the market.