This Case is about SALES

PUBLICATION DATE: July 31, 2008 PRODUCT #: UV1225-HCB-ENG

Netflix initiated the on-line video rental sector and developed a triumphant business model that efficiently handled customer acquisition, retention, and life value. Blockbuster Video means to impede the growth of Netflix by establishing an internet lease application that seems to be incorporated with its enormous network of video shops that are offline. Will Blockbuster’s program that is station damage rentention rates and Netflix’s customer acquisition? Concurrently, rivalry from video retailers like Walmart challenges the core business model that Netflix constructed to optimize customer lifetime value.

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