Is the emergence of video streaming and Video-On-Demand (VOD) technologies posing a threat to the sustainability of Netflix’s business model?
Video-on-Demand (VOD) is the current video streaming technology that combines pay-per-view programming with internet downloading (Donghyeok, Yongseok & Hwangjun, 2013 p.1295). Netflix, a DVD rental company which isa subscription based, ventured the video industry with disconcerting technology of providing online video rental. Its competitors like Blockbuster offered retail rentals. With time Netflix competitors followed the company’s direction when their main competencies were incapacitated by Netflix’s strategy. Zink (2005) notes that Netflix became a technology leader and invested of up-to-date ...