Netflix Funding Pitch

To be successful, excellent companies require capital. Raising funding from investors for a start-up is challenging, even for seasoned entrepreneurs with a lot of momentum in their firm. As a result, fundamental capabilities are critical components of every organization, as are gradual objectives being reached. To define and grow their unique core competencies, most firms must incorporate the multiple talents, knowledge, skills, and assets that comprise their distinctive strength into their total makeup. For example, the company Netflix mostly focuses on streaming to gather revenue. Therefore, it is crucial to re-evaluate and further develop a pitch using the company Netflix to emphasize areas like value proposition, competitive advantage, risk, growth, and the likes to convince senior management of the merits of the product produced by the company secure approval for the new product.

Value proposition

Netflix derives its value from providing internet streaming services. Streaming services have become increasingly widespread in our daily lives. As a result, Netflix has focused on providing high-quality entertainment to a wide range of customers at all times and from any location. The Netflix platform is intended to appeal to a broad spectrum of subscribers. As a result, its repertoire includes a wide range of movies capable of entertaining cinema aficionados (Maddodi & Prasad, 2020). Furthermore, consumer segmentation is both used and geographical to determine which form of material works best for each group. The organization strategizes approaches and strives to give the finest client experience possible by implementing value propositions. As a result of this value proposition, the project will be able to provide personalized lists and possibly suggestions of movies and films depending on preferences. As a result, the corporation should use high-definition content (HD), particularly for clients prepared to pay premium pricing (Maddodi & Prasad, 2020). A Blue Ocean Strategy will be implemented for the project to generate new demand and outperform competitors (Rayna & Striukova, 2016). The initiative will merge value proposition, value chain, and value client to push market-disruptive entertainment packages while providing excellent client happiness.

Competitive advantage

Competitive advantage is important to the growth of enterprises.  In the TV and film industry, a competitive advantage places a company in a greater business position than its competitors. Netflix, Inc., an internet streaming content provider, is one of the companies with a competitive advantage in the TV and film industry (Maddodi & Prasad, 2020). When compared to its industry competitors, a competitive advantage helps it to achieve more subscriptions and better pricing. With more than 200 million paying subscribers as of the end of 2020, Netflix is the world’s biggest premium streaming service (Netflix Inc.) (Rayna & Striukova, 2016). Other internet entertainment service providers are threatened by the company’s rivalry. Netflix has risen to prominence as a major provider of internet streaming entertainment in recent years (Rayna & Striukova, 2016). Based on the information provided, there is an opportunity to examine how Netflix has Based on the provided information, there is an opportunity to determine how Netflix has remained the top choice for TV and movie streaming by keeping its competitive strategy viable and to make recommendations on sustaining its competitive advantage and strategic decision making.

Risk and opportunities

Given current market trends, the company may exhibit several strategic issues. This includes the possibility of operational and financial difficulties in a business setting. The transferable business model of Netflix Inc. is a flaw in the company's internal strategy. Rivals may, for instance, develop an online video-on-demand supply chain using the same business model (Maddodi & Prasad, 2020). Due to this internal aspect, the company's operations are susceptible to the effects of the strategies employed by the producers on which it relies. Additionally, the business depends on ISPs to evaluate users' internet service, which is critical in determining Netflix customer loyalty. For instance, in the case of Netflix, the possibility of admission stands out as both a danger and a chance. One of the main elements influencing the home entertainment business for television and movies is the threat of entrance. This is so because there aren't many entrance barriers and the open sector (Maddodi & Prasad, 2020). Entry threat comprises a variety of components. The capital need is one of them. A firm that wants to enter the sector needs a sizable capital base. Since companies like Netflix generate enormous income, competing with them would be challenging. Based on current activities, the stats must have grown compared to the current year. Such situations provide obstacles for new entrants, reducing the danger of entrance. However, the entertainment industry is extremely competitive and prone to abrupt shifts. New rivals could be able to start their companies at a reasonable price (Rayna & Striukova, 2016). Many customers have on-going ties with various providers of entertainment videos and can effortlessly switch their expenditure from one company to another.

Additionally, it appears that Netflix's strategy involves consumer segmentation. The business uses both internet streaming and mail delivery. Most young people today are increasingly interested in online activities, therefore streaming activities fit very well with them (Rayna & Striukova, 2016). They are proficient with technology and spend most of their leisure time online. This is a highly effective strategy for growing the business clientele since once they discover something intriguing, they are likely to tell their co-workers (Maddodi & Prasad, 2020). It serves as a word-of-mouth promotion for Netflix. The older generation is generally open to change, yet most do not use the internet. Therefore, it would be efficient to use the delivery companies. The business can deliver more quickly and for little expense to the customers. The change in customer preferences and the use of innovation are intangible assets that support this strategy. Technology is progressive and always developing (Maddodi & Prasad, 2020). Given the technological features of the sector, the adoption of internet streaming is essential. Netflix has a chance because of how society progresses, and consumers' preferences evolve. The business will find it simple to implement numerous modifications while also forging a competitive edge. Capital and readily available high-quality software are examples of tangible assets. Since it was founded, Netflix has been profitable and, as a result, has amassed sufficient finances to maintain all of its current activities. Since each category employs a distinct strategy, segmentation is limited by a low capital need (Rayna & Striukova, 2016). Benefiting software will also lead to a successful entrance into the internet streaming industry.

Growth opportunities

Netflix has established itself as a household name for watching television shows and movies online. It may use this brand awareness to expand its operations internationally. The Netflix service is pure since it doesn't combine streaming with other goods to annoy clients by inundating them with pointless product options (Rayna & Striukova, 2016). Since it has greater resources thanks to the robust approach, it can deliver quality improvement plans and surpass consumer expectations. Additionally, the corporation can sell more shares to earn additional cash, which it may use to expand its material library. Along with its original programming, Netflix depends on shows created by other content creators to draw in and keep viewers (Maddodi & Prasad, 2020). The capacity of both resources to draw sizable crowds and keep them interested in subsequent performances makes them both significant resources.

Additionally, Netflix purchases the rights to a program, which is a difficult and expensive endeavor in and of itself. As a result of the famous performers' preference for proposals from established big businesses, shows are expensive to copy. Given its innovative approach to selling shares and subscriptions, Netflix can now afford to buy various program licenses to please its customer base (Maddodi & Prasad, 2020). Additionally, Netflix has set itself up to benefit from the resource. This strategy effectively creates original series because rivals cannot acquire the rights to these programs without dealing with Netflix (Rayna & Striukova, 2016). However, some users may not be able to fully utilize the company's services because of its rapid expansion, which may be surpassing the Internet's capacities.

Product enhancement through value addition

Creative enterprises have a lot to gain by creating a global content strategy in our linked internet age, where the internet permits the free flow of tales across national boundaries, international borders, and seas. With only the click of a button, streaming services such as Netflix can simultaneously debut new films and TV shows in several countries (Rayna & Striukova, 2016). This has completely changed the rules that govern the entertainment sector (Maddodi & Prasad, 2020). The ability to share material that connects with and reaches a global audience is now more accessible than ever before, so producers should no longer feel constrained by geographic boundaries or linguistic hurdles.

You can guarantee your content will succeed worldwide by creating local-language material, developing particular and accessible tales, and employing international voice actors to translate dialogue into several languages. Netflix customers in foreign countries climbed by 98 million between 2019 and 2020, or 33% year-over-year growth (Maddodi & Prasad, 2020). Netflix needs to work hard to win over geographical audiences with original programming that feels less like a faraway Hollywood import and closer to something that represents the audience's heritage and personal experiences and is available in their mother tongue if it wants to stay relevant continue bringing in new customers. This work goes beyond just creating viral hits. All the steps involved in localization involve creating original material in the target language (Rayna & Striukova, 2016). Localization ensures that vocabulary, languages, and social and cultural norms are considered so that the content will connect with the particular demands of a specific community or market, as explained in this overview of international ad campaigns.

Corporate Social Responsibility relating to DEI

Today, businesses are judged on their decisions about their treatment of employees and customers and their impact on social issues. As a result, diversity and inclusion as a corporate social responsibility can describe programs and policies that encourage increased representation of diverse groups of people (Hunt et al., 2018). Diversity can also include varying work experiences, thinking styles, and personality types (Hunt et al., 2018). A DEI is an increasing priority with multiple benefits in an organization's business strategy. An organization's need to adapt to the demands of a changing environment demonstrates the necessity of including diversity, equality, and inclusion plan inside the company. For example, Netflix cannot risk a significant portion of its retained revenues if its product enters new markets (Hunt et al., 2018). Therefore, an IPO is a logical choice to partially dilute the firm's share to raise the required capital.

CSRs are ingrained in Netflix's corporate culture. The tales they tell have the greatest influence on fostering empathy and understanding. The company operations and procedures at Netflix are created so that they do not obstruct or burden the wellness of individuals and the environment (Maddodi & Prasad, 2020). These procedures and layouts also promote corporate expansion. The management at Netflix can guarantee that the company experiences sustainable commercial growth by lowering associated risk factors and pursuing community-building objectives thanks to the organization's structured operational architecture. By concentrating on three main objectives, Netflix aims to improve its social effect and influence on society, the environment, and people's lives. Netflix also adheres to the notion of working for and alongside the populace (Rayna & Striukova, 2016). With its global expansion, Netflix makes sure to give millions of people worldwide new options for employment and a means of subsistence. This is accomplished through inclusive investment opportunities and agreements.

Additionally, Netflix works with entire communities to make them healthier and more joyful. Both the communities in which it operates and other groups in areas classified below the poverty line receive nutritional help and augmentation from Netflix (Maddodi & Prasad, 2020). To improve the welfare of its users and the numerous regions it has involved, Netflix manufactures and sells health and sanitation products.

Conclusion

It is crucial to re-evaluate and further develop a pitch using the company Netflix to emphasize areas like value proposition, competitive advantage, risk, growth, and the likes to convince senior management of the merits of the product produced by the company secure approval for the new product. The development of these competencies will further enhance the company's market hold, necessitating the use of various professionals and an IPO. Incorporating these competencies will also create diversity within the organization, ultimately creating new viewpoints and cultures. Additionally, Netflix has been shown to have numerous benefits, and its value will be greatly seen in nutrition and cosmetics. Therefore, the competencies implemented in the firm show various decisions and aspects needed within the funding pitch.

References

Hunt, V., Prince, S., Fyle, S., & Yee, L. (2018). Delivery through diversity [Ebook]. https://www.mckinsey.com/~/media/mckinsey/business%20functions/people%20and%20organizational%20performance/our%20insights/delivering%20through%20diversity/delivering-through-diversity_full-report.pdf.

Maddodi, S., & Prasad, K. (2020). Netflix Bigdata Analytics - The Emergence of Data Driven Recommendation. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3473148.

Rayna, T., & Striukova, L. (2016). 360° Business Model Innovation: Toward an Integrated View of Business Model Innovation. Research-Technology Management, 59(3), 21-28. https://doi.org/10.1080/08956308.2016.1161401