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The Strategic Plan: Jessica Zepeda

Netflix's vision is to provide entertainment for everyone around the world to make the world smile. Over the next few decades, Netflix predicts internet entertainment will replace linear television, and Netflix hopes to still be the leading company offering an incredible entertainment experience. Currently, Netflix operates a global streaming service with over 151 million paid memberships in over 190 countries. Netflix's financial performance has increased in recent years with profit margins rising and stock prices increasing over 500% in the past five years. Netflix plans to continue producing original series and movies as consumers move away from traditional television schedules.

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43 views

The Strategic Plan: Jessica Zepeda

Netflix's vision is to provide entertainment for everyone around the world to make the world smile. Over the next few decades, Netflix predicts internet entertainment will replace linear television, and Netflix hopes to still be the leading company offering an incredible entertainment experience. Currently, Netflix operates a global streaming service with over 151 million paid memberships in over 190 countries. Netflix's financial performance has increased in recent years with profit margins rising and stock prices increasing over 500% in the past five years. Netflix plans to continue producing original series and movies as consumers move away from traditional television schedules.

Uploaded by

Jes
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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THE STRATEGIC PLAN

JESSICA ZEPEDA
Netflix

Summary Introduction
Netflix was created in 1997 as a DVD rental by mail company by Reed Hastings and Marc
Randolph in Scotts Valley, California. Netflix is an American media service provider and its
headquarters are in Los Gatos, California. The company’s main business is subscription-based
streaming service. With over 151 million paid memberships in over 190 countries, Netflix is the
world’s most watch internet entertainment service. Netflix offers members a very wide variety
of all genres, even languages, of movies, tv shows, and documentaries. There is something for
all ages with the paid membership to enjoy watching anytime, anywhere. Netflix is completely
commercial free.

Company’s Vision
Netflix has a vision to make the world smile by providing entertain for everyone around the
world. Netflix culture is that entertainment is like a friendship, it is something that is a necessity
to all humans. Entertainment transforms human emotions which leads Netflix to give us all a
common ground. Netflix predicts that over next few decades, internet entertainment will
replace linear television, when this happens Netflix hopes to still be the leading company in
offering an incredible entertainment experience.

Current Operations
Relaxation time has become known as time to enjoy streaming entertainment. Netflix
operations over the next 12 months says that Apple, Warner Media, and Disney will be
collaborating with Hulu, Amazon, BBC, Hotstar, Youtube, and many others that offer streaming
entertainment. In 2013, Netflix took its next step in the business and debuted its first original
series. Furthermore, twenty years later Netflix has become global. Netflix originals series and
movies have captured viewers’ preference over linear television.

Recent Financial Performance


Netflix financial performance has been increasing over the past few years. Net profit margin
increased from 34.49% to 36.89% in the last year. This improvement has been a trend since
2015. Each year Netflix’s profit margin increases. Return on assets has an upward trend from
2015 to 2018. Current ROA is 4.41%. The stock price over the past five years has had an
increasing trend as well. In 2015 price was at $64.58 and has increased to $298.29 as of today.

Five Year Objectives


Netflix operations have a major advantage over linear television because consumers are
enjoying binge watching rather than a specific time and day for linear television. The next few
years Netflix will continue to produce series and movies as research has shown consumers are
moving away from regular television programs that are aired at a specific time and day. Netflix
also will continue to brand themselves as commercial free because they value viewer
satisfaction and believe that there is more valuable business in the long term by staying out of
competing for ad revenue.

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