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Original content plays a crucial role in Netflix's competitive strategy. It allows Netflix to create a unique and defensible position against competitors and reduces its dependency on third-party licensing rights. By producing its own content, Netflix can control the quality and variety of its offerings, which helps to attract and retain subscribers. This strategy has proven successful in the long run.
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For instance, think about Netflix. Netflix began its competitive rivalry with traditional TV networks and the movie rental industry like Blockbuster, but now has to face new entrants that have popped up recently like HBO Max, Disney+, and the newly formed Discovery+. To combat these competitors and create a defensible position against supplier power in the form of third party licensing rights, Netflix began creating its own original content, which has paid off well in the long run.
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Do you feel trapped to outdo competitors? Better strategies can build a stronger defense against competition and generate higher ROI on your strategic...
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