RE: “Netflix, make or buy content?”

November 16th, 2013 § 0 comments

I agree with Emily Chang’s opinion that making contents will benefit Netflix more than to buy contents.

Downloading media files illegally online has become a more common activity. Furthermore, the quality of the non-authorized contents are becoming more compatible with the originals files, leading to a signifiant decrease in demand in the sales market for CD’s and videos.

Netflix charges a monthly fee of $7.99, and although users may watch however many videos they would like, one side of the market believes that paying $7.99 is pointless considering that many videos are available online for free streaming.

If Netflix was to create their own content, it would help them to capture a broader market. With Netflix’s self-made contents, consumers may choose to pay $7.99 each month to watch  movies or TV shows that are only exclusive to Netflix. The restrictive access to the Netflix-made contents not only helps to keep the pre-existing customers interested, it also attracts consumers that do not want to pay for the movies and TV shows that areaccessible online for free. The contents created by Netflix is Netflix’s point of difference with other video-streaming websites.

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