Abstract

The development of e-commerce has allowed for the rapid rise of internet businesses such as Netflix. In an economy where geographical barriers are removed and the “niche” market can be targeted, it was quick to gain market share over their main competitor Blockbuster. Originally a DVD-by-mail service, Netflix has developed over time to primarily be focussed on internet streaming and the creation of their own content. By using strategies such as the long tail and a subscription service, it has been able to benefit from network effects within the attention economy. This report will look at the many ways Netflix has changed and matured to create their success today.