Netfllix: The Reed Hastings era
By
Sachon, Marc
The case describes the evolution of Netflix from its founding in 1997 until early 2023, when Reed Hastings, co-founder and long time CEO, stepped down from daily operations. It coveres the evolution of Netflix operating model from buying, renting and selling DVDs to streaming, global expansion and gaming.
Collection: IESE (España)
Ref: OIT-45-E
Format: PDF
Number of pages: 18
Publication Date: Jan 14, 2025
Language: English
What material is included in this case:
Description
The case describes the evolution of Netflix from its founding in 1997 until early 2023, when Reed Hastings, co-founder and long time CEO, stepped down from daily operations. It coveres the evolution of Netflix operating model from buying, renting and selling DVDs to streaming, global expansion and gaming.
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Year: 2023
Geographic Setting: United States
Industry Setting: Services and manintenance
Learning Objective
The case is intended to discuss the topic of technology-driven disruption of operations and business model. In analyzing the early operations model of shipping DVDs to homes, students get an opportunity to understand advantages of pooling, long tail, Japanese production system concepts (e.g., kan-ban, ship to order, etc.). As the discussion moves on to the time after 2007, students get an opportunity to explore the close links between changing the business strategy and the corresponding operations strategy and operational model. Finally, if time permits, the instructor can explore the role of culture and talent management as one of the key pillars of Netflix success
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