A Full Strategic Appraisal of NETFLIX - Case Study Example

The report will analyze the external and internal environment affecting Netflix, through identification of the strategic models and ‘Critical Success Factors’ (CSFs). Models such as VRIN framework will be used to analyze resources possess by the company. The next part of this appraisal will elucidate the current issues and challenges faced by Netflix and will attempt to generate successful strategies that will be helpful for the company to attain growth in future. Models such as SAF Framework will be used for the evaluation of the strategy and its growth opportunities.

Finally, the study will provide summarized information that will briefly elucidate the major factors discussed throughout the study. PESTEL Framework. From its inception, Netflix has been highly affected by the political environment of the nations that fall under its service distribution network. Nationally, the company has been affected by the laws of copyrights on variety of contents including documentaries and series because of political changes in the operational countries. The amendments made in the existing copyright law can be observed to hamper the ability of Netflix in delivery of content.

The strategy of the company is also affected by the economic factors of a nation. To maintain the topmost position in the global market, Netflix needs to set the price of the product that is competitive in nature and can easily attract the potential customers by outweighing their expenses. In addition, the competition is another major factor that has significantly influenced its operation in the global arena. It can be derived from the case study that Netflix incurred high amount of losses when the company expanded outside the U.S. for attracting more customers and expanding their reach (Thompson 475-498).

In case of Social factors, Netflix must gather knowledge of the moral and religious issues