With the approval in June of the Northern Gateway pipeline by Stephen Harper’s Conservative government,there’s a battle from Nak’azdli,similar to other north-central and coastal B.C. First Nations.They believed the construction of the gateway will cause an oil spill and that would harm the forests and diminish their spruce, pine,etc.They claimed they are fighting for sustainability and a better living environment for offsprings with concern of resource development.Even though the company says it has already signed equity sharing agreements with 26 of the 40 First Nations along the proposed route,it seems now it needs more negotiation with first nations.
The company is trying to figure out if they really don’t want such business project, why they show interests and sign the contract for owning two gas stations? So here the question comes, why do they not support the pipeline? Profits from their business enterprises have been used to improve the newly built infrastructure. It turns out they community hate with an energy system that burns wood waste and are trying to find a way to use less fossil fuels.
After meeting and negotiations with First nations, the company spare no effort to convince them to support the pipeline project.And what hold real importance matters the agreement is actually the arrival of the salmon,shows resistence for the claim that the project will harm the river.
Many laws for First Nation, like the Indian Act, are to protect aboriginal interests and the lands reserved for their use during the process of colonization. However, what accompanies with such protect can be disagreement and battle between them and those business enterprises try to build project in their territory.Such external factors can impact business models hugely.The company faces the possibility of huge loss due to the temporarily work shut down.
Monthly Archives: October 2014
Keurig’s coffee supremacy challenged by Canadian firm
Keurig, an American manufacturer of coffee brewers for both home and commercial use,has a main product the K-Cup, a single-serving coffee brewing system.Keurig released its 2.0 model in August, with a exclusive feature that initially prevented consumers from using other brands of coffee pods.
With the exploding increase single-serve coffee market in Canada,the profits of coffee makers industry has spawned huge growth. Since the real money dominantly stems from the coffee pods,the company wants to grow their revenue by having more market share for coffee pods.
The monopoly of coffee pods for K-Cup arouses consumer’s anger and reject from other competitors.Coffee pods are hugely significant to some company like Club Coffee.So when it realized the potential harm of the K-Cup 2.0 model,the CEO Pigott obtained a Keurig 2.0 model even before it was on store shelves and assembled a small team to examine the device and its K-cups to understand the technology. “We cracked the code,”John Pigott excited to find the secret of 2.0 model and how it works.
Keurig says its own K-Cup pods give the ‘optimum’ performance from its single-serve machines, but now since other company has figured out their”secret”, can they still stays the top on coffee pod market?Keurig’s core strength now actually becomes a threaten, and their supremacy can be challenged. Only consumers and markets can tell us what product works and what doesn’t .
Reference:http://www.cbc.ca/news/business/keurig-s-coffee-supremacy-challenged-by-canadian-firm-1.2787075
Expanding market
Netflix,an American provider of on-demand Internet streaming media available to viewers, recently announces the plan to release its first original-feature movie simultaneously as in select Imax theatre.
Netflix successfully delivered many TV series like House of card and now it has over 50 millions subscribers in over 40 countries.The company tries to do it again and this will shatter movie theater monopoly.The announcement really arouses reaction from the theatre chain. Regal Cinemas, the biggest U.S. theatre chain with 86 Imax locations, said it would not screen the movie at any of its locations;and Cinemark, the third-largest movie exhibitor in the U.S., said it would also boycott Netflix’s first original feature.The reason those theatre chains refused to accept this announcement is that Netflix totally breaks the traditional model of releasing movies.Through this way, theatre’s benefits may can be harmed seriously.
Releasing movies on Netflix and theaters simultaneously implies a choice for people. They can choose now.Netflix chief content officer Ted Sarandos said the alliance is about giving audiences flexibility to watch movies where and when they want to. Netflix targets to general public and help them to cut the time for the way going to theatre and buying movie ticket.
But whether that “job has been done” for customers is really what customer want needs more discuss. Some customers may enjoy the process of going out with friends and sitting in the theatre with that atmosphere.”We will not participate in an experiment where you can see the same product on screens varying from three storeys tall to three inches wide on a smartphone,” said Regal spokesman Russ Nunley. So its not only about movies itself but also the service and experience it offered to customers.Netflix’s value proposition may not perfectly fit the market for customer segments.
On the other hand, Netflix can save lot of money and time for people.The low cost strategy can be really profitable with great production.Although it do owns huge success in online video service,it may not apply to movies as well for movies’ special property. And according to a research,even though the Netflix may have had success with “House of Cards”, but most hit dramas are still on traditional television. In the short-term then Netflix has not come close to killing cable. Those who predicted a dramatic death are more likely to witness a prolonged decline. So it is really crucial for Netflix to distinguish their strengths and weakness and expand their market with deeply consideration.
Reference:
http://www.bbc.com/news/business-29421555
http://www.theglobeandmail.com/technology/business-technology/netflix-signs-adam-sandler-to-exclusive-four-movie-deal/article20889242/
http://www.cbc.ca/news/arts/netflix-deal-to-screen-crouching-tiger-sequel-slammed-by-theatre-chains-1.2782265
http://www.economist.com/blogs/economist-explains/2013/08/economist-explains-17
http://www.cbc.ca/news/arts/netflix-deal-to-screen-crouching-tiger-sequel-slammed-by-theatre-chains-1.2782265