The Cable Television Industry in the United States

In United States cable television industry, the traditional cable companies compete with different types of competitors. Like Netflix which is in home entertainment occupied the part of market share in the industry. The unique organizational architecture support Netflix has a sit in the entertainment industry. Furthermore, the traditional cable companies change their original structural to cope with the fierce competition.

Netflix incorporated is in the home video entertainment market and it is the world's largest online movie rental. “Netflix increases value to customers based on four major value drivers: technology, delivery, customization and brand reputation.” In recent year, the technology growth rapidly, Netflix incorporated finds the niche market in video rental market. They distributes the movies to consumers through movie theatres, airlines, hotels, and in-home. Gradually, Netflix changes the customers’ consumption habits on watch movies. More and more customers prefer to choice the convenient way rather than buy DVDs. Therefore Netflix become the first choice for online provider of the home entertainment industry. The optimal decisions for Netflix are the Chief Executive Officer perfectly coordinates the senior managers of different functions and the senior managers decentralised the power to the specific workers.

Netflix incorporated group the jobs by the aims of functions, rather than by consumers or geography. It is a functional organizational structure. CEO Reed Hastings has centralized the marketing, talent, service, finance, product, and content six different departments, each with individual managers. “CEO plays an important role in defining the architecture, coordinating activities across departments, making...

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...it cooperation.” Consequently, Comcast pay an important attention to centralized their managers.

Secondly, Comcast provides four main services. There are cable, video programming, internet, and voice service. Comcast uses a cost leader ship business level strategy in order to capture a higher market share. Because Comcast has lower input costs by outsourcing process, the price sells by Comcast below the industry average.

In conclusion, the coordination between different divisions has always a problem the in the firms because there are no certain mechanisms and processes to link the different function. So to do the cross-functional training and knowledge sharing across different department are the optimal decision for the companies to running successfully. Furthermore, firms to merge with other companies and outsourcing to other companies also a good decision.