DISH Network was organized as a corporation in 1995 under the state laws of Nevada and began operation on March 4, 1996. They are primarily focused on delivering high-quality video entertainment. DISH is a publicly traded company with common stock on the Nasdaq Global Select Market and is traded under the ‘DISH’ symbol. DISH is a nationwide company, and is the United States third largest pay-TV provider. DISH Network’s three main business subsidiaries are DISH, Blockbuster, and Wireless Spectrum. DISH pay-TV service is a direct broadcast satellite pay-TV provider which had 14.056 million American customers as of December 31, 2012. Blockbuster offers movie and video game rentals and sales through retail stores, mail, digital devices, the blockbuster.com website, and the ‘Blockbuster on Demand’ service. Wireless Spectrum is a $712 million acquisition of certain 700 MHz wireless spectrum licenses, a $1.365 billion acquisition of DBSD North America, and a $1.382 billion acquisition of TerreStar. Dish is currently “evaluating their option to commercialize these assets”.
“Our business strategy is to be the best provider of video services in the United States by providing high-quality products, outstanding customer service, and great value.” (2012 Annual Report pg 1) DISH has been a technological leader in the pay-TV industry, developing and introducing award-winning DVRs, dual tuner receivers, 1080p video on demand, and their newest technological achievement the HD DVR receiver named the Hopper, that they hope will maintain and enhance their competitiveness over the long term. DISH strives to provide outstanding customer service through quality of installation, reliability of equipment, educating customers, and resolving aris...
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...modify their software, and may have to stop providing features that are currently offered to customers. As stated in the annual report the features in question are of the utmost importance to DISH’s current business strategy. The cases could result in DISH not being able to renew their retransmission consent agreements, or at the least having to renew on unfavorable terms. If DISH were not able to renew their retransmission consent agreements with the broadcast companies it would likely not be able to be competitive with other pay-TV companies.
I think that this case would have been hard to prevent. Technology often causes us as a society to create appropriate regulation for the new types of issues that arise with change. This issue is inevitably going to arise. DISH Network embraces this by placing technological advances at the top of its business strategy.
The company that I have chosen is Comcast Cable Company. Currently, Comcast is the leader in the home entertainment industry. Comcast offers their customer's: cable television, internet service, home phone service, television screaming app, home security, and mobile service. The company is working to compete with AT&T/ Direct TV, Dish Network, Hulu, Netflix and sling Tv. The competitors do offer cheaper service, but Comcast is known mostly for its great internet service. Xfinity Instant TV and Xfinity Mobile are the newest product that has been launched by Comcast. Xfinity Mobile has two phone plans, and you must have Xfinity internet service. Xfinity Mobile plans are: By the Gig data and Unlimited data. The By the
3. Shaw Direct provides direct-to-home satellite programming to more than 900,000 subscribers - largest in the country
The Telecommunications Act of 1996 can be termed as a major overhaul of the communications law in the past sixty-two years. The main aim of this Act is to enable any communications firm to enter the market and compete against one another based on fair and just practices (“The Telecommunications Act 1996,” The Federal Communications Commission). This Act has the potential to radically change the lives of the people in a number of different ways. For instance it has affected the telephone services both local and long distance, cable programming and other video services, broadcast services and services provided to schools. The Federal Communications Commission has actively endorsed this Act and has worked towards the enforcement and implementation of the various clauses listed in the document. The Act was basically brought into existence in order to promote competition and reduce regulation so that lower prices and higher quality services for the Americans consumers may be secured.
The final phase according to Jim Collins is capitulation to irrelevance or death, which is growth declines and the company’s stock, is no longer popular. Unfortunately, for Blockbuster, a once thriving and growing retail movie rental store, which previously had taken down its competition entered this phase and would quickly lead to the company’s death. Satellite TV distributor Dish purchased Blockbuster at an auction in 2010. Immediately, Dish began to close retail locations. Most recently, in November 2013, Dish announced that it would close all the remaining company owned stores. In addition, Blockbuster’s DVD by mail and online programs would cease operations, too. As a result, Blockbuster died.
B) The critical issue is that Comcast, the biggest internet and cable provider in the nation, is seeking to become even bigger in merging with Time Warner Cable, the second biggest company in the market. This merger will increase the influence Comcast has on TV channels and internet content providers, leaving consumers with fewer alternatives and will reduce competition to the amount where Comcast will control two thirds’ of the cable TV market and about 40% of ...
strong global presence tha t dates back to 1882 when it opened a plant in
The market penetration of TiVo has been very poor. Fourteen months after its introduction only 0.04% penetration has been achieved out of the total of 102million TV watching population. This is also reflected in the poor revenue position of the company. Exhibit 3 shows that the company recorded a loss every quarter since the introduction of the product in September 1999 and has been getting worse.
TiVo was incorporated in 1997 they intended to create an interactive television system that developed the idea of recording digital video on a hard disk. TiVo allowed consumers to watch their T.V shows when they wanted to watch them by recording, playing back, and pausing live television. TiVo has now bundled its services with many companies, but at one point Direct T.V accounted for 70% of TiVo's costumers. Effective marketing and innovation have made TiVo the best known DVR in the industry. TiVo has always considered itself as a hardware provider and a service provider and now seem to be shifting to an all service future. Despite having the strongest brand name and one of the largest customer bases TiVo has suffered millions in operating losses. In 2003 a massive transaction from analog to digital DVR's took place. TiVo has been quick to respond to changes in the market by upgrading the features and refining performance. But, the new digital technology has caused TiVo's market share to drop as competition grows quickly.
Determining the right target segment requires an analysis of the customer, company and competition (fig. 2). TiVo's customer is defined by unmet needs in the market. While TV is one of the most ensconced and ritualistic elements of contemporary American life, there are still aspects of television viewing that do not fulfill customer needs. An estimated 68% of Americans complained that they felt "widowed" by their loved one during the Fall television season because their spouses were chained to their televisions during primetime from 8pm to 11pm. Additionally, parents expressed a difficult time getting their children to do homework during key television programming times. In general, this is evidence that consumers want greater control over their television consumption habits. Analysis of the TiVo Corporation reveals their core competencies, which include proprietary software, national distribution through established retail outlets such as Best Buy, Circuit City and Sears and product co-branding with trusted electronics giants Philips and Sony.
As a result of the FCC auction, the only XM’s competitor in satellite radio arena is SIRIUS. But at the same time there other entertainment sources that could be perceived as prospective competitors for XM.
TiVo has had competitors for the first year that it was conceived which has made it difficult to thrive when fighting for market share. The two major competitors were DVR, and ReplayTV. All made their debut in 1999 and the Consumer Electronics Show in Las Vegas. Replay won the Best of Show award. (Pearce & Robinson, 2013) However years later no one remembers ReplayTV. Whereas TiVo and DVR has gone on to become household names in the market place. However in the early years of this technology TiVo thrive. Using clever marketing slogans such as, “It’s not TiVo unless it’s a TiVo”, “Simple enough you mother could do it, or “Hey if you like us, TiVo us.” Additionally, TiVo engaged in employing celebrities to endorse the TiVo brand. These are all time tested marketing strategies that work to help corporations dominate a market share and drive them to financial success. So why has TiVo dominated the market early but never turned a profit.
During the 1990’s, some of the primary policies that had been put in place by the FCC to promote diversity of ownership of content in broadcasting were either eliminated or cut back. The Financial Interest and Syndication Rules (Fin-Syn) were repealed and the consent decree was also abandoned, allowing networks to own as much programming as the wanted, this opened the floodgates to mergers with studios. Through several other policy changes, such as the 1992 Cable Consumer Protection Act and the Telecommunications Act of 1996, a vertically integrated, tight oligopoly emerged in the commercial television and video entertainment fields (Cooper, 2007)
As advance technology of fiber-optic developed and is on the rise, everyday there is another story about entertaining movies on demand and streaming online is with ease. Those developments which let movie’s viewers sit in the comfort of their home or anywhere with access to the internet can stream instance movies with a push of a bottom. They no longer need to make a trip to the movie’s stores for movies rental and return, so that is why movie shops fail and filed for bankruptcy bring a symbolic close to the “let’s go rent a movie” era. Blockbuster LLC, formerly Blockbuster Entertainment Inc., both owned and franchised American-based giant provider of home movie and video game rental services through video rental stores, later adding movies by mail, streaming online and video on demand. Due to the peak of fiber-optic and competition from companies such as Netflix, Redbox, and GameFly, Blockbuster became the victim of digital media and filed for bankruptcy on September 23, 2010 due to significant lost in revenue.[3]
The idea inspired Reed Hastings and Marc Randolph, and then they founded Netflix in Scotts Valley, California in 1997 (Netflix, 2014). The company comes into play by developing a subscription-based streaming platform for movies and television shows. Unlike the traditional movie rental businesses such as Blockbuster and Redbox, Netflix’s innovation offers service via Internet, and it does not have any physical stores but instead delivers DVDs through postal mail in the U.S. Since then, Netflix has become the world’s leading internet television network with constant growth of customers to over 48 millions members in more than 40 countries in the North America, Europe, and the Latin America (Netflix, 2014). In this analysis, the main focus is examining the current market environment for Netflix. It identifies the type of market structure that Netflix is currently competing. The analysis also expands on the competitions, product differentiation, pricing strategy, and measuring the level of easy entry-and-exit.
Shirley Temple once said, "Make-believe colors the past with innocent distortion, and it swirls ahead of us in a thousand ways - in science, in politics, in every bold intention. It is part of our collective lives, entwining our past and our future ... a particularly rewarding aspect of life itself." As one of the first contracted actresses of Twentieth Century Fox to grace the silver screen, perhaps she knew, even then, that they wished to whisk people away into a land far far away, a world of make believe. To this day, they continue to use the magic of movies, but television and other forms of entertainment, to fill people with wonder. After all, they continue to remain firm in the belief that imagination and storytelling are vital