Since its launch, Netflix has changed its business model in order to
A)compete with Blockbuster's retail store expansion.
B)respond to changing customer service needs.
C)expand its focus from entertainment to movie collectibles and memorabilia.
D)avoid head-to-head competition with satellite television providers, which recently announced a strategic partnership with Blockbuster that offers a similar service as Netflix.
E)begin preparations to withdraw from its traditional method of mail delivery, which takes 2-3 business days, and introduce next-day delivery through FedEx.

Question

Quizplus · Accepted Answer

Netflix's initial business model was based on providing DVD rentals through mail delivery but it pivoted to a streaming-based model in response to changing customer service needs. As digital technology improved, consumers increasingly expected to be able to stream content on demand rather than waiting for DVDs to be delivered. Netflix recognized this shift in demand and invested in developing its streaming service, which has now become the primary way that consumers access their content on the platform.

Since Its Launch, Netflix Has Changed Its Business Model in Order