Controversial issues in psychology Essay

Controversial issues in psychology are those that cause the greatest concern within both psychology and within society as a whole. Advertising uses techniques of persuasion to manipulate people’s behaviour in the desired direction of the perpetrator of the persuasive message, which uses invasive and exploitative techniques and try to show that social norms and values are not always for the best. Advertisements are a set of shorthand signals about products we are to buy and the circumstances we would use them in. They are a ready source of stereotypes, sexual, regional and cultural, e. g. families are always happy and adults are always employed. The first advertisement on TV in the UK was for Gibbs SR’s toothpaste. The ad has become an icon of the consumer age, and psychologists have become increasingly fascinated by the art of persuading people, despite its controversies. What persuades people to buy or use the advertiser’s product or service is how the advert makes them feel, i. e. the meaning we attach to the advert. However the advert is interpreted by the individual, the impact of any advertisement is what it means to us. The author invites us to participate in constructing a meaning for the advert. O’Barr (1994) suggests that advertisers create an advertisement for us to use as a skeleton to add flesh to and breathe life into. Another area controversy in advertising is that it is difficult to disentangle the impact of advertising from other influences that might be current at that time. Hedges (1982) points out that to the consumers, advertising is just part of their background – advertisements form just one part of the sensory bombardment that we experience every day. We cannot stop to evaluate every piece of sensory input, so for the most part, advertisements are relegated to fairly low levels of consciousness. Advertisers use many psychological theories to make their work successful, including associating their product with a particular emotion or image. A need for an item must be created, therefore we must be motivated. In the case of pre-existing needs, such as for bread, the motive must be to buy a particular brand (e. g. through price, quality). Where there is no pre-existing need, it must be created, as in the case of children’s toys. Neurological research has shown that the left hemisphere of the brain is more concerned with ‘practical’ functions such as language, where styles of response are, foe example, verbal and analytic. The right hemisphere is more concerned with spatial, imaginative processing, where responses concern feelings and are, perhaps, unconscious. Lannon and Cooper (1983) suggested that because of this, much advertising is geared towards the right hemisphere. Fast marketing is a relatively new approach, which targets those that have developed brand loyalty and become offensive when they are offered a new alternative. This creates problems for advertisers trying to target new groups, so a blitz of free samples is distributed (fast marketing) so that everyone has a chance of trying out the new product. Consumers are then more likely to change their attitudes or opinions about the product, and so the advertisers will have succeeded. People are also more easily persuaded to change their minds after witnessing testimonials or adverts which use someone who they think is admirable or attractive, such as sports heroes or actresses (Pratkanis and Aronson, 1992). Advertisers typically pair an attractive person or item (unconditioned stimulus) with their product (conditioned stimulus) to produce a positive attitude towards their product (conditioned response). This helps to give positive attitudes towards the products.

Difm or Diy

I would have preferred a third option in the discussion board question, a DIFM and DIY option together and I would have definitely selected this option. I believe Auto-Mart would have benefited the most if it had the enough resources and finances to adopt that third option. The auto repair market has a lot of competition, so Auto-Mart could target both consumers. Having a hassle free auto repair shop and a fully packed parts store will enable Auto-Mart to offer a wide range of customers for repairs and parts.Moreover, customers will have the ability to choose the best parts and have them installed at Auto-Mart; thus Auto-Mart â€Å"will kill two birds in one stone†. But since we are asked to choose only option, I would suggest that Auto-Mart should emphasis its business on the DIFM. According to Ags company, the NPD report concluded that â€Å"68% OF U. S. CONSUMERS PREFER DIFM TO DIY† in the auto service industry (2012). It is mainly because people need to maintain the ir car in its best order to prolong its life span, this makes absolute sense.We use our car daily for the longest possible time, and we have spent a descent amount of cash , so why risk doing a repair service ourselves when we are able to get a trustworthy professional technician to the job. Additionally, most people might not have the free time to do a project themselves, and even if they did it might end up costing them the same if they don’t have right equipment for the job. Therefore Auto-Mart best business emphasis should be a DIFM type of business.A â€Å"do-it-yourself† business will cater for customers who shop for parts and accessories, and tend to install the products themselves. It is basically for the customers who have the time and skills to complete many projects. Some stores like Home Depot have an â€Å"our hands-on workshops† and â€Å"1-2-3 books† to provide the â€Å"do it yourself† customers with the skills and expectations need ed to complete many projects around their homes (Home Depot, 2011).Furthermore, many televisions shows like Martha Stewarts have portrayed the some DIY project as a fun and entertaining; thus this new trend is evolving. The advantages of this type of business I believe will enable the business to do its job without having to pay extra fees. No workers to provide a service, a small shop to display the parts, and having the ability to allocate some of the profits to open several new locations.Usually a business grows when it translates its customers’ needs and add these opportunities to its company, a â€Å"do- it –yourself† business can’t expand its service other than expanding its products and to new locations. It is kind of limited which I believe is a disadvantage. But to the willing customers it will give them the knowledge and education to do things with their hands, and this education goes a long way; in the future that customer will be able to fix a nd repair what is needed in a shorter and cost effective way.As well as the feeling of accomplishment, saving money, and feeling in control. The â€Å"do-it-for-me† business will cater for customers who don’t have the time, energy, skill, or even the temperament to do the job. This business will actually do the job for the customer but for an extra fee, that some customers are willing to pay in return for a job well done, time saved, less frustration, and the guarantee that some businesses tend to give for the service provided.The advantages of the â€Å"do-it-for-me† business will allow the business to attract and maintain a loyal customer base which is vital for any growing business. The business will be able to profit more due to the extra fees for labor , and will probably be able to convince its customers into doing new repairs that will add up to their profit. A â€Å"do-it-for-me† business should gain the trust of its customers, or else they will l ose their customer to a different business or to the DIY method.Thus a huge disadvantage for a new established business that needs to build its reputation, through marketing and advertising. The other disadvantage or challenge a DIFM business will face is the huge costs it will incur; having labor costs that will only increase for a quicker service, costs of equipment to get the job done, a fairly large working space area, and after sales problem to deal with. But once established and running, the DIFM will generate more money than a DIY business for the auto service industry.Therefore, a DIFM business might be the right emphasis to implement. Do it yourself examples: †¢Super markets where you buy your groceries and cook your own meal. †¢Canadian Tire/ Home Depot/ Ikea †¢DIY Drones †¢Zellers †¢Wal-Mart Do it for me examples: is more profitable due to the wide range opportunity of these types of stores or businesses can benefit from a customer. †¢Restaur ants where you order, eat, and enjoy! †¢Canadian Tire / Home Depot/ Ikea( for an extra fee you get the service) †¢Canada Wide Plumbing & Mechanical Services Inc. Paradise Pools Canada †¢Car wash Reference: AGS Company. (2012). 68% of U. S. consumers prefer DIFM to DIY, according to NDP. Retrieved from AGS Company website: http://www. agscompany. com/news/369-68-of-us-consumers-prefer-difm-to-diy-according-to-npd Hal Dean, D. (2010). UNDERSTANDING THE DO-IT-YOURSELF CONSUMER. Journal Of International Business Disciplines, 5(1), 42-54. Miller, R. K. , & Washington, K. D. (2007). CHAPTER 13: DO-IT-YOURSELF PROJECTS. In, Leisure Market Research Handbook (pp. 83-85). Richard K. Miller & Associates. )

Airline Industry Essay Example | Topics and Well Written Essays - 3250 words - 2

Airline Industry - Essay Example nt situation of fast changing of environment in air transport, the professionals in aviation sector must have access to highly developed and comprehensive knowledge including in-depth understanding of the requirements of the airline industry globally (American Institute of Aeronautics and Astronautics, 2011). The incident of September 11 had certain worst economic effects on the airline industry. This had caused dramatic dropdown in passenger demand as well as high costs to a large extent. However, the industry was facing worst period before as well. Thus, it contributed problem for the industry besides having problems for passengers (FRBSF Economic Letter, 2002) In this paper the functions and principles of management towards airline industry have been explained in brief. The role of human resource manager and major issues of human resource management in air transport industry have been mentioned. The issues related to safety and security in airline industry along with their importance has also been highlighted in the paper. The airline industry is one of the competitive industries because accuracy and safety are required in such area. Thus, the functions of the management are to make the task process efficient and reliable so that it can safeguard the business of airlines as well as the lives of passengers. The various functions and principles of aviation industry are planning, leading or motivating, organising and controlling. The purpose of planning is to create effective strategy that will facilitate to achieve the goals of any industry. The planning process includes scope, goals, objectives and statements of the organisation. It also includes analysis of external environment, threats and opportunities of the industry. Planning and controlling are vital parts of any organisation as both are required for smooth functioning of the management of industry. Strategic planning in airports provides emphasis to safety as well as security of the travelling

Madisons views in the structure of the proposed constitution Research Paper

Madisons views in the structure of the proposed constitution - Research Paper Example Madison asserted that the republican remedy personified in the Constitution permitted the different sections adequate room to articulate their outlooks and to attempt to pressure the government. Rather than the majority suppressing minorities, the diverse concerns would confer their differences. This leads to a situation whereby the majority would rule but with appropriate care and consideration given to minorities. Consequently, the same number of sections would prevent any one from exerting dictatorial power over the rest (Federalist no. 10). He also argued that there must be a connection between the interests of the man and the constitutional rights of the place. He feels that when such tools are crucial to contain the exploitations of government, it becomes an expression on human nature. For instance, he argues that there would be no need of a government if men were angels. Moreover, neither peripheral nor interior pressures on government would be obligatory if angels were to rul e men. A great complexity lies in structuring a government, to be governed by men over men. In this regard, one must first facilitate the government to have power over the governed and in the next place compel it to govern itself. The major control on the government is a dependence on the citizens. However, experience has taught people the requisite of supplementary safety measures.He further indicates that if a section consists of less than a majority, the republican principle relieves it by enabling the majority to overcome its menacing views by standard vote. It might convulse the humanity and obstruct the administration. However, under the provisions of the Constitution, it will be incapable of carrying out and masking its brutality. When a majority comprises a faction, the structure of popular government, alternatively allows it to surrender to its ruling zeal or concern both the rights of other citizens and the public good. The greatest objective of the constitution is to prot ect the public good and personal rights from the threat of such a faction as well as to safeguard the spirit and the structure of popular government (Federalist no. 10). Moreover, diverse interests unavoidably subsist in different categories of citizens. The privileges of the marginalized would be in danger if a majority were in unity due to a common interest. This can be counteracted by realizing several divided depictions of citizens in the society. In effect, this will leave an unfair combination of a majority very dubious and impossible. The federal republic of the United States will illustrate this method in the proposed constitution. All power in it will originate from and rely on the society and the society itself will have numerous interests, divisions, and categories of citizens. Consequently, the rights of marginalized, or of the minority, will be less vulnerable from interested groupings of the majority. Madison further argues that, the safety for civil rights must be equ ivalent to that for religious rights in a liberated government. In the one case, it comprises the array of interests and the diversity of factions in the other (Federalist no. 51). Madison further argues that to facilitate guarding against the factions of a few, delegates must increase to a certain number however small the republic might be. In addition, to guard against the perplexity of a crowd, the delegates must be limited to a certain number however large it might be. The number of delegates in the two scenarios is comparatively greater in the small republic hence is not corresponding to that of the two components. In that case, the larger republic will offer a larger preference, and therefore a greater likelihood of a fit choice. Consequently, more citizens in the large than in the small republic will select each delegate. For that reason, it will be very hard for undeserving candidates to practice successfully the nasty arts, which often

European Union Law Essay Example | Topics and Well Written Essays - 2000 words - 2

European Union Law - Essay Example The French authorities wish to deport Derek and his family back to the Britain. Here it will be important to consider the rights of the European Union citizens though before doing that it is perhaps important to consider whether the actions complained of by the French authorities are legally objectionable, or otherwise. Does Derek or his family have the right to stay Is their right independent of each other's Are Derek and his wife to be considered as "workers" Naturally, it is the European Court of Justice (the ICJ) that has severally been called upon to apply its wisdom in cases where a party suspects that his rights have been violated, and those instances will no doubt be crucial in gauging the status of Derek and his family. It may be wise to recite the relevant the full provision here in order to be seized of its full implications. Thus Article 39EC of the Nice treaty provides;2 2.. 1. Freedom of movement for workers shall be secured within the Community. 2.. Such freedom of movement shall entail the abolition of any discrimination based on nationality between workers of the Member States as regards employment, remuneration and other conditions of work and employment. 3. It shall entail the right, subject to limitations justified on grounds of public policy, public security or public health: (a)to accept offers of employment actually made; (b) to move freely within the territory of Member States for this purpose; (c) to stay in a Member State for the purpose of employment in accordance with the provisions governing the employment of nationals of that State laid down by law, regulation or administrative action; (d) to remain in the territory of a Member State after having been employed in that State, subject to conditions which shall be embodied in implementing regulations to be drawn up by the Commission. A worker has been defined in the case of Lawrie-Blum V. Land Baden Wurttemberg as a person who for a time performs services for, or under a direction of another person, and receives remuneration in return.3 The ICJ has had to deal with cases where the rights of a migrant were considered. In the instant case, Hartley thinks that Article 39 on the freedom of movement of migrants is restricted in this aspect. A migrant has the right to cross borders once the offer is made before he leaves his country of origin, and as such, such migrant has no right to go to a member country to look for work4. This is premised on the fact that the Article 39 (3) (a) talks of "accepting offers of employment actually made." Thus I my advice to Derek is that his legal position as a migrant is already tenuous as he went to France to look for work. So unfortunately for Derek and his family, French authorities already have some legal ammunition they can use to deport the head of the family. For, Derek, the re prieve could come from a declaration made by the member states and recorded in the minutes meeting way back in 1968 that such migrants who crossed borders into other community member states could be allowed to stay for three months and if they have not been

Popular Culture (4-2) Class Participation Assignment

Popular Culture (4-2) Class Participation - Assignment Example The way that John’s character unfolds and is portrayed also affected the way I thought about him. The movie builds and revolves around him in such a manner that I started connecting with the character. The fact that he was a cop and was a sober man also helped in recognizing him as a hero. He showed signs of being a good natured, stable, modest and no-nonsense man. All theses qualities assured me as John’s character being central and that of a hero. The film was released in 1988 and was an American action Film. And I feel that how the hero is portrayed in a movie, to a good extent is dependent on what the viewers want to see. This was the time when people wanted to see the character of hero being a common man with whom the audience could relate to and this trend still continues. The action movies during that time were completely a one-man show, though there used to be a back-up provided for the hero from other characters but in all indirect means. Till this time people expected a little more realistic planning and thinking from the hero. Therefore, the character of John McClane showed no signs of being a perfect and extremely skilled guy but still somehow being able to sort out everything in the end in a smart way and in his own

To what extent is the incorporation of state owned commercial banks Essay

To what extent is the incorporation of state owned commercial banks improved the efficiency of the Chinese banking system - Essay Example Since China gets more structured with the globe, because of these measures banking system of China now has turn out to be high-ranking in the global financial markets, corroborated by the rapid development of economy of China. The banking system of China is viewed as successful during the situation of financial crisis in 2008. Now, 3 drifted banks of China namely Bank of China (BOC), Industrial and Commercial Bank of China (ICBC) and China Construction Bank (CCB) are the biggest banks in terms of market value following the financial crisis which ruined many European and American banks. During 1990, many experimental and theoretical studies have analysed the chances and challenges that banking sector of China face (Chapman & Marshall, 2012). An important study regarding the Chinese Banking industry in the broader perspective of agreement of China with World Trade Organization (WTO) and economic transformation is extremely important (Chapman & Marshall, 2012). Discussion In 1980s, vari ous banks of Latin American countries face crises. Lots of nations carry out a many steps to restructuring their misfunctioned banking industry, including fiscal relaxation and strengthened dictatorial regimes. Mostly these transformations were productive in strengthening banking industry and avoiding banking crisis. Transparent and imprudent authoritarian and administrative models played a significant role in the successful states (Wang, 2009). In 1978, in Chinese banking system the process of reformation was began with the establishment of the BOC and CCB. During last 3 decades, different measures of restructuring have been beginning piecemeal in order to strengthen the competitiveness and effectiveness of the domestic banks in China, particularly the state-owned commercial banks. Even so, the steps that have been carried out don’t give the required results. In 2004, official figures shows that the ratio of non-performing loans in the Chinese big four state-owned commercial banks that remained at 2.5 trillion Yuan (equal to three trillion US dollars at recent rate of exchange), was fifteen percent of the entire bank loans (Wang, 2009). This official estimation is viewed as to be undervaluing due to the oblique system of rating system. The ineffective operational mechanism, distribution system, and personnel management system result in failure of several significant restructuring steps. Therefore Chinese banking system requires a complete shakeup. Size and Structure of the Chinese Banking System During the last decade, the banking sector of China is greater in size comparative to the economy of China and has expanded drastically. Entire assets of Chinese banking system (as well as assets that are present in the international subsidiaries and branches of Chinese banks) were approximately equal to two hundred and forty percent of GDP at the end of 2011 which increase from two hundred percent that were in early period of 2000, however, from GDP domestic c redit is estimated to be equal to one hundred and forty five percent (Chapman & Marshall, 2012). This ratio of credit-to- GDP is high comparative to states in which the per capita income is at equal levels. Intermediated credits are much developed

QUESTION SET Movie Review Example | Topics and Well Written Essays - 250 words

QUESTION SET - Movie Review Example The story would change drastically if told by someone else other than Martha since they do not understand the real hardships due to lack of contact with the women. This would overshadow the real struggles of women. Things left behind provide evidence of the living conditions during a historical period (Richard, 1997). They help us understand the experiences through reconnection. An example is Martha’s diary helps us to see her world and make a film depicting her life and experiences as a midwife. Other remote issues such as religious conflicts affected the ordinary lives of people. They reduced interactions among community members sharing differences in this remote factors. As a result, racism becomes an issue and an ordinary way of life making it difficult for ordinary people to relate with those of opposite race. Racism is seen as big issue at the time when mothers states she uses the same speed and skill to deliver white women and black women proving race was there but she did not let it affect her (Richard, 1997). The movie helps us understand the struggles faced by women during the post-revolutionary period. It helps to shed light on medical practices, religious animosity and sexual roles in the 18th century. These issues still affect us right now and, therefore, the movie can help individuals recognize this issues and address them

A Tale of Two Cities by Charles Dickens Essay Example for Free

A Tale of Two Cities by Charles Dickens Essay In ‘A Tale of Two Cities,’ by Charles Dickens, there were two characters that have many different personality traits, strengths, and weaknesses. But they also had a few things in common as well. These two characters are Sydney Carton and Madame Defarge. Although these two characters are alike, they both have different motives. Sydney Carton is a very strong and intelligent man. Fist, Carton presents himself as a drunk, lazy attorney, who feels as though his life has no meaning. Carton professes his love to Lucie Manette, but later on Carton becomes a changed man. He transform into a Christ-like figure. He begins to shoulder his way through life. His goals are positive and lead to his â€Å"recalled to life,† in book the first. Carton only wants to do what he knows will please Lucie, because he wants to die with the knowledge that one human being in the world who thought he was worth something and cared for him. Another character in the book named Stryver, describes Carton as â€Å"summons, no energy, and purpose.† Sydney also describes himself as, â€Å"like one who died young.† The only time in which Carton’s motivation kick in is towards the end, when he sacrifices his own life for Charles Darnay because he knows it is what would make Lucie Manette happy. The next character I will describe is Madame Defarge. Madame Defarge is completely motivated as well as Carton is, but Madame Defarge is also driven with revenge. It appears that Madame Defarge goals are only of vengeance. Madame Defarge is self-centered; app her goals are reflected around herself and her own revenge, which is shown when she says, â€Å"Tell the wind and fire where to stop; not me.†

Harry S. Truman and Korea -to Unite Essay Example for Free

Harry S. Truman and Korea -to Unite Essay The Chinese joined the Koreans side and helped fight back against US troops. General MacArthur -To completely defeat the Korean and Chinese armies. -President Truman ordered for him to stop his assault on the Asian countries. -He persisted and was eventually fired because his arrogance cost them the battle. President Truman -To keep Korea from becoming a communist country. -China helped North Korea fight the war to spread communism. They joined with the allies in the UN to help stop the spread of communism. China -To spread and maintain communism -They were afraid of the US and UN invading them -They planned a surprise attack which was successful. United Nations -To stop the spread of communism. -MacArthur persisted on fighting. -They relieved general MacArthur of his duties. How did General Douglas MacArthur react to the events in Korea? What was his stance on the Korean War? He decided to keep pushing against the enemys border. He believed China did not have enough resources to fight back. He wanted to take out the Chinese army once and for all. How did President Truman respond to the events in Korea? What was his stance on the Korean War? President Truman wanted to stop the spread of communism in the East. He fought a war against North Korea and China to keep communism away from South Korea. He wanted to end the fighting once they had cleared Chinese troops from Korea. Which leaders actions were the most justifiableGeneral McArthurs or President Trumans? Support your claim with evidence from the lesson. President Trumans actions were more justifiable because He knew when the battle was over. He did not want to keep pushing against the enemy. The push that MacArthur made on China caused them to lose the battle and be attacked in a surprise. Would the outcome of the Korean War have been different had General MacArthur not been fired? Why or why not? Support your claim with evidence from the lesson. I think the outcome might have been different if MacArthur had not been fired. They might have kept fighting against China until they had completely wiped out their army. They could also have disbanded all communism in Korea and maybe in China as well.

UK Childrens Health And Well-being

UK Childrens Health And Well-being Drawing on research and theory critically discuss the effects on young childrens health and wellbeing of being poor in a rich country such as the UK. How can such health inequalities be addressed? The health and wellbeing of children within the UK has become a controversial topic amongst policy makers, due to the major health inequalities surrounding children in the UK. A report submitted by the Department of Health (1980) concludes that on the whole, health within the UK has improved since the introduction of the welfare state; however there is still widespread health inequality which has resulted in a vast number of children living in poverty. Poverty is defined as a circumstance characterised by severe deprivation of basic human needs, including food, safe drinking water, sanitation facilities, health, shelter and access to education and information. (United Nations, 1995) Poverty has further been defined in literature in terms of relative and absolute poverty. Relative poverty is where individuals are living in a rich country such as the UK, where there are higher minimum standards which no individual should fall below. These standards should continue to rise as the country expands economically. On a higher scale, the concept of absolute poverty includes anyone deemed to be living below the minimum standards of the above essentials. It is important that individuals do not fall below this standard as it can have devastating consequences. Although poverty has numerous definitions, it must be remembered that child poverty is the poor circumstances experienced throughout the duration of childhood by children and young people . It differs from adult poverty due to the diverse causes and effects. The impact it has on children during childhood can be everlasting. (CHIP, 2004;UNDP, 2004). Social exclusion is where families have limited access to good health, adequate diet, the ability to participate in the community (Smith 1990). In this sense, poverty and social exclusion are directly related, since families living in poverty often do not have access to the above necessities. The health statuses of various groups of people are dependent upon numerous factors, one which is social status. A persons social status is almost directly related to the persons health and social group that they belong to, thus has a potential effect on the health and life chances that one may encounter. Categorically, socio-economic groups in the community vary from the high class to the working class, with geographical location being a primary factor. For example in Britain, those that live in affluent areas are more likely to live a healthier and more productive life than those who live in a deprived location on a low income. The social status element has broadened the gap between communitie s, allowing poverty to continue to dominate the lives of children. Children are vulnerable to deprivation; even when it is only for a short period in their lives. It can still have long term implications on their growth. I aim to critically discuss these effects and look at ways in which health inequalities can be addressed. Childhood is a very vulnerable stage for children, as they are dependent on their parents or guardians to fulfil their needs. Children require basic resources and services to develop mentally, physically and emotionally. To develop into a healthy adult, necessary requirements include educational facilities, vaccinations, healthcare, security, nutrition, clean water, and a supportive environment. Due to their sensitivity during this critical stage of life, children are particularly vulnerable to exploitation and abuse (CHIP, 2004: pg. 2). Furthermore, children living in poverty face numerous deprivations of their rights: survival, health and nutrition, education, participation, and protection from harm, exploitation and discrimination. Over 1 billion children are severely deprived of at least one of the essential goods and services they require to survive, grow and develop (UNICEF,2005b: pg. 15) Children growing up in poverty are more likely to experience emotional and behavioural problems both of which have a negative effect on their wellbeing. Additionally most problems encountered throughout childhood continue into the adolescents and adulthood years. Antisocial behaviour can be due to cultural and social factors which can have an immense influence on the individual. Living in inadequate and overcrowded housing conditions on estates which are associated with crime increases these risks. Bronfenbrenners ecological theory suggests that human behavioural development is shaped by ones environment. The theory acknowledges that a child affects as well is affected by the settings in which they spend time in. The time spent by children in negative surroundings will have a detrimental effect on their personal behaviour. He states that as the child develops, the interaction and relationships formed with others around them become more complex, and that this would continue to arise whilst the childs physical and cognitive formation was to grow and mature. A study conducted by Clark in 1996 found that children suffer socially from frequently being re-housed in to more affordable housing. These children felt that they lacked stable friendships and had difficulty forming friendships due to the frequent school changes, schools hence became a place of social deprivation rather than a place where friends could be gained. Moreover, Oppenheim (1996) and Dunn (2000) both argue that chil dren feel excluded because they cannot afford to socialise with their peers leaving them segregated from those around them. Furthermore Smith (1995) indicates that failure to fit in with their peers results in profound effects on childrens behaviour. Blackburn (1991) goes on to argue that poverty affects psychological and behavioural processes which diminish life choices. This can lead to increased feelings of powerlessness and low self esteem as a result. In some cases this can cause the individual to form coping strategies which include alcohol or illegal drugs. Gilman et al (2003) highlights that childhood adversity extensively increases the risk of depression, as well as long term negative effects on childrens health and wellbeing. The health and well-being of children is interrelated to the quality of housing, the appropriateness of the location and affordability. Housing is a key component of both the physical and social environments in which children are exposed to, and plays a direct and indirect role in the achievement of positive development. A study undertaken by the Board of Science 2003 found that stable, safe and secure housing is a fundamental aspect in the healthy development of a child (Board of Science and Education, 2003). Faulty structure and inadequate facilities, for example heating, can cause accidental injuries (English House Condition Survey (EHCS), 1996). Factors affecting the health of children include the cost, quality, occupancy and the stability of the housing, along with the neighbourhood environment in which the child resides. Moreover, affordable accommodation for poverty-stricken families is frequently restricted to housing with substandard physical properties (Dunn, 2000), and is often in surroundings with socio-environmental problems which provide further disadvantages to physical and psychological well-being. Potvin et al (2002) argues that the housing tends to be in specific locations, resulting in segregation of low-income communities, when combined with poor access to employment opportunity, this can lead to socially deprived neighbourhoods. Klitzman et al (2005) confirms that these neighbourhoods are inclined to be unsafe, with limited access to essential facilities and services. This inevitably leaves fewer opportunities for social integration, and also poses health risks to the community, particularly for the vulnerable groups, residing within these environments. Curtis 2004 argues that inadequate housing may further influence individuals health and mental well-being through increasing their level of stress. This can put a tremendous strain on a child, as the child distinguishes the atmosphere within the home as being depressing. He goes on to acknowledge that crowded living conditions can result in easier transmission of infectious diseases i.e. tuberculosis and increases the likelihood of acquiring respiratory illnesses such as asthma and bronchitis particularly if family members are smokers. Excessive noise levels also result in sleep deprivation, which can affect the growth and psychological wellbeing of a child, as they may experience tiredness and low energy levels whilst at school, which would lead to poor concentration. Similarly this can also have adverse affects on adults and children alike and lead to negative psychological effects, including aggression, depression, irritability, and frustration with others in the family. This is r eported to contribute to family issues and potential violence. (Curtis, 2004).. The English House Condition Survey confirmed that 1,522,000 UK residences did not meet the mandatory standards set (EHCS, 1996). For many deprived communities, the only housing available is unsatisfactory. The World Health Organisation (WHO) advocates that, during the cold weather, the average room temperature should remain at a constant 18-20C (WHO, 2005). However, in the EHCS survey it was estimated that 40% of the UK population resides in temperatures below these guidelines. 19% of housing in the UK is cold, and damp compared to the 9% recorded in Germany (EHCS, 1996). Despite specific measures adopted by local governments, housing policies continued to remain inadequate in many regions. For example, insulation of properties is a major government initiative at present. This is recognised as a cost effective intervention that could increase room temperatures whilst decreasing fuel costs for poverty-stricken families. However, The Warm Front scheme, which provides funding for insula tion, is not available to pregnant women and young children, unless they are in receipt of specific social security benefits. Despite repeated evidence of the effects of poor housing, and associated lack of heating, public health interventions remain insufficient. Economical accommodation for poorer families can be excessively expensive, and the payment of rent or mortgage costs can result in minimal disposable income for fuel, food and other basic necessities (EHCS, 1996). Obesity is a known health issue associated with poverty; a consequence of low incomes and inexpensive inferior foods, which result in high fat and high salt diets. Consequently, it has been determined that people with serious health issues are more likely to occupy the least health-promoting segment of the housing market, which in turn, aggravates health problems. Children born into poor circumstances also tend to have fewer educational opportunities than children are born into families where parents have been educated, or there is more disposable income available in the household. Hetherington et al (1991) argues that poor parents find it increasingly difficult to provide intellectual, stimulating tools or resources, such as toys, books, and technologically advanced equipment to their children. The complexity of their circumstances also prevents them from increasing the childs opportunity of receiving a pre-school education, giving them the opportunity of a positive foundation which is essential during the critical period of learning and development. Failure to attend pre-school can result in low academic attainment at a later stage. (www.surestart.gov.uk) Furthermore, since many social peer relationships form during the early years, children who do not have these experiences tend to lack confidence and self-esteem (Hetherington et al (1991), When placed within the classroom environment at an older age, these children are more likely to choose to remain segregated rather than participate within class discussion as they feel stigmatised due to the life they lead and have poor confidence when interacting with their peers. They feel that children that live in affluent areas have greater confidence and should be the speakers. In the mid 1990s, there was an extremely high rate of relative child poverty in Europe, and the UK at present still has a high rate of poverty and the worst birth weight in deprived areas in comparison to any other Western European country (Sandwell-Smith, 2003). Therefore in 1999, Prime Minister Tony Blair made a pledge to eradicate child poverty by 2020, halving it by 2010, and making a difference by 25% in 2005. In order to do this, several changes were put into place such as the implementation of a taxation system, changes in benefit eligibility and the way it is paid, the introduction of the tax credits and the investment in childrens services. Around the same time, the Millennium Cohort Study (2000) established that babies being tracked were already showing larger differences in their health status at the age of three, according to their family conditions. Among children in families with income below  £10,000 a year, 4.2% suffered chronic illnesses at this age, compared to ju st 1.7% among wealthy families on over  £52,000. This significant difference highlights the importance of living above the poverty line. Such evidence has paved the way for numerous Government initiatives that attempt to close the gap on health inequalities in the UK. According to the UKs statement to the United Nations General Assembly Special Session on Children in 2002, the UK is restructuring the machinery of government to put the welfare of children and young people at the heart of policies and services, to ensure that childrens and young peoples voices shape the priorities and practices of the government, and to bring together the government, the voluntary sector, businesses, local communities and families with a vision for young people. (United Nations 2002) Ten years on research shows that the government still holds a strong will to tackle child poverty and has always had it on the agenda, and is continuing to be a key aspect in the battle against child poverty. In a response to the recent release of poverty figures, the government insisted that the  £1 billion already committed in this years budget with help to lift a further 250,000 children out of poverty, however they believe an additional  £3 billion will be needed to invest in tax credits and benefits in order to meet the 2010 target set by former prime minister Tony Blair. (End Child Poverty HBAI Report 2008).However in a policy briefing on education and child poverty released in March 2008, The Child Poverty Action Group (CPAG) condemned the government for not addressing this issue properly and claimed that the educational gap between disadvantaged children and their peers would continue to increase and that part costs incurred should be claimed through local charging police s ( End Child Poverty 2008). Although some of the governments policies and strategies have not achieved their full potential there is still room for improvement with the ideas already formed. This can only take place if there is a major transformation in the way policy makers address the issue and implement strategies. For example the existing tax credits system consists of a working element for parents who are on a low income and a child based element on the number of children under the age of eighteen in full time education. This currently needs to be reviewed and updated; the combined value of child tax credit and child benefit needs to be increased in line with inflation and earnings. The reformation on the administration of tax credits and benefits is also essential as in previous years there has been discrepancies on the amounts paid and the overpayment of these allowances.(www.hmrc.gov.uk) In conjunction with the above, the benefit entitlement system needs to be reassessed for all UK residents irrespective of immigration status as at present those that are not UK nationals are not entitled to specific benefits. Another significant aspect is that the government has made various attempts to work towards creating more jobs, and getting people off benefits into work however; it needs to be that the jobs created are enhanced and beneficial, financially for those that are qualified and have the relevant experience.(www.jobcentre.plus.gov.uk) Conclusion: There is conclusive evidence that living standards and housing conditions are interrelated and poor socio-economic situations during childhood negatively influence the health status once a child reaches adulthood. The exposure of the young to these situations contributes to long-term ill health. This is worsened due to diminished immune systems and the greater exposure to negative environments which they have little or no control over. (Klitzman, et. al., 2005). Insufficient facilities and the overcrowding of properties are very much a major concern with infectious disease, while damp and mould can cause various respiratory problems (Bornehag, et. al., 2005). Nevertheless, the debate around housing and health and wellbeing is inclined to be concerned with the discourse of poverty. (Dunn, 2000). However, looking at research there seems to be much less consideration of the indirect effects of poor housing upon health, such as social exclusion (Curtis, 2004) and depression, and psycho-s ocial effects are repeatedly overlooked. Moreover in recent years, socio-economic determinants of health have returned to policy debates, and housing conditions are, once again, recognized as a critical influence upon public health (Board of Science and Education, 2003). Recent studies have shifted focus in the direction of a broader-ranging perspective with regard to poverty, and health and quality of life, which presents the possibilities of enhanced understandings of the determinants of health status. The General Assembly of the United Nations 1948 states that everyone has the right to a standard of living sufficient for the health and wellbeing of himself and his family. This Includes food, clothing, housing and medical care. As with many health determinants, the quality of housing is directly related to income. Trying to reduce these adverse effects of poor accommodation remains a major challenge. Health inequalities are not reducing in the UK, and the worst health is experienced by those who are most socially and economically deprived (Stanwell-Smith, 2003). As in the nineteenth century, there is a profound need for a rigorous public health reform. Essential to this must be enhanced living standards and prevention of ill health, so as not to become trapped in the inevitable cycle of poverty many children still find themselves in today. Although the government has evidently reaffirmed its commitment to meeting its child poverty targets, and has developed both the organisational competence and the political drive to do so, there still seems to be a vast majority of children living in poverty and it is highly unlikely that the 2010 target is to be met, based on current spending levels. However it is not too late to improve the strategies enforced to provide a healthier future for the children who will be the new generation of the workforce for years to come. Word Count:2992

Volleyball at the Beach :: Descriptive Essay About A Place

Volleyball at the Beach Park Nestled between high-rises filled with lavish condominiums and quaint beachfront shops lies the center of teenage life on Saturday mornings, Laudermilk Beach Park. It is here that all of the problems of everyday life are forgotten for a few hours every Saturday, and teenagers are able to relax and do what teenagers do best, play volleyball. The day’s events begin around 10 o’clock a.m. when most adolescents make their way from their beds to their bathrooms. After showering and dressing in the customary cut-off T-shirt and swim trunks (most often shorts adorned with flowered designs), teens start their cars and head off to the Laudermilk Park, about a thirty-minute drive. Around eleven o’clock, the parking lots become filled, and volleyballs begin flying through the air. Before long, teams of twos and fives take over the courts and begin to play. Onlookers get quite a show. Shouts can be heard everywhere on and off the court. On the court, teammates shout to one another, ordering sets and spikes, working hard for the next point. Off the court, kids celebrate the well-constructed plays of others and claim rights to the next match. At the end of each game, winners run swiftly to the adjacent beach for a swim, while losers meander sullenly to a drinking fountain housed under an elevated shelter. It is only seconds before new games begin, and the cycle begins again. Next to the court, under the shade of a large oak tree, sits Ali. Ali is a man of about 55 who attends the gathering every week. He used to be a professional volleyball player, and now spends his time watching the game at a youth level, and giving advice to novices and experienced players alike. He watches pensively from under the shade of the large branches, quietly munching on his turkey sub-sandwich. Every few minutes Ali yells wisely to a young player. He says, â€Å"Keep your jump approach in stride,† and â€Å"Remember to cup your hand before you make contact, then follow through.† Down near the water teams celebrate, and boys and girls flirt in the warm ocean. An occasional roar erupts from all around when a boy on a skimboard attempts a flip and lands headfirst in the water. Uninterested girls lounge lazily in the sand, turning themselves every so often to avoid burning, as if they were on a rotisserie.

The Theme of Justice in King Lear Essay -- Papers

The Theme of Justice in King Lear Justice is a balance of misfortune and good fortune; right and wrong according to motives and circumstances of the individuals under judgement. To be just we must consider why they did it and balance out all the evidence and facts and decide on a punishment depending on these. Types of justice that exist in society include criminal justice, legal justice, vigilante justice, natural justice and divine justice. As King Lear is a brutal play, filled with human cruelty and many awful disasters, the play's terrible events raise an obvious question for the characters, namely whether there is any possibility of justice in the world. Various characters offer their opinions. Towards the end of the play Gloucester says: "As flies to wanton boys are we to the gods; / they kill us for their sport," Here, he has realized it is foolish for humankind to assume that the natural world works in parallel with social or moral justice because ultimately, the gods will do with us what they will regardless of whether or not it is just. Edgar, on the other hand, insists that: "the gods are just," optimistically believing that individuals must ultimately get what they deserve. However, in the end, we are left with only a terrifying uncertainty; although the wicked die, the good die along with them, leaving us with the awful image of Lear cradling Cordelia's body in his arms unable to accept the fact that she has suffered such an inexplicable injustice. There is goodness in theworld of the play, but there is also madness, evil and death, and it is difficult to tell which triumphs in the end. The purpose o... ...n are clever-or at least clever enough to flatter their father in the play's opening scene-and, early in the play, their bad behaviour toward Lear seems matched by his own pride and temper. But any sympathy that the audience can muster for them evaporates quickly, first when they turn their father out into the storm at the end of Act II. Goneril and Regan are, in a sense, personifications of evil-they have no conscience, only appetite. It is this greedy ambition that enables them to crush all opposition and make themselves mistresses of Britain. Ultimately, however, this same appetite brings about their undoing. Their desire for power is satisfied, but both harbour desires for Edmund, which destroys their alliance and eventually leads them to destroy each another. Evil, the play suggests, inevitably turns in on itself.

Research Paper- the Effects of Domestic Violence

A woman wakes up in the middle of the kitchen floor, and as she opens the one eye that isn’t swollen shut, she frantically searches for her minor child with no avail. She calls the police who take her report and then question her about her bruises and black eye. She tells them what happened; they take her report and begin the search for her daughter. When they find her daughter and husband they return them both home because the daughter is â€Å"safe† in their eyes and she has fearfully corroborated her father’s alibi that they haven’t been home all day.The officers leave, satisfied that they have done their jobs, only to discover the next day that the man they returned home safe has now beaten his wife and child unconscious. This situation may not be how every domestic violence situation plays out but it is all too often the case. Domestic violence is a serious problem in America that affects the victims and children involved, but does not seem to have co nsistent enough consequences for the offender, or strong enough protection for the victims. The Effects on the VictimsThe number of domestic violence incidents is at a staggering amount. According to the Domestic Violence Resource Center (2010), one in four women has experienced domestic violence in her lifetime. That is one quarter of the female population. This means that the majority of us probably know someone who has been a victim, whether they have admitted it or not. This could be your mother, sister, aunt or daughter. Whether you can see the physical effects there are other signs that may suggest they are in a violent or abusive situation.Victims involved in this kind of abuse typically withdraw themselves from their friends and family. They don’t participate in activities that they once loved. They may also change the way they groom themselves on a daily basis. For example someone who would typically take pride in her appearance may now dress very casually, wearing à ¢â‚¬Å"sloppy clothing† and wearing hats and sun glasses to â€Å"hide† their face. Domestic violence victims suffer many immediate physical symptoms such as bruising and broken or fractured bones, and though most may think that is the extent of the physical problems, it is not.The BRFSS (Behavioral Risk Factor Surveillance System) is an annual, state-based, random-digit, dialed telephone survey of noninstitutionalized , US civilian population greater than 18 years of age. In a study conducted by BRFSS the findings in their report linked IPV (Intimate Partner Violence) with poor general health, chronic disease, disability, somatic syndromes, injury, chronic pain, STD, functional gastrointestinal disorders, and changes in endocrine and immune functions (Shannon, 2009).Symptoms like these can cause problems with the victims for many years to come, and in some cases, the victim’s entire life. Some of the physical effects are irreversible. Women are abused every day, and the below picture is an example of only a portion of the pain caused to the victim. This abuse affects many aspects of their lives other than aesthetics. [pic] In addition to the horrifying physical effects of domestic violence, the victims are subject to many psychological effects as well. Some of the abusers involved don’t start out hitting their partner.The abuse begins sometimes, long before the hitting. Sometimes it could start off with something as seemingly insignificant as the abuser saying â€Å"I don’t think you need that much make-up†. This may be an innocent enough comment in the right moment that the woman believes her partner is giving her a compliment and so she complies. The problem is now, her partner has realized how to approach her in a deceiving way to slowly gain control of her. After that control has been established, those once â€Å"flattering suggestions† have now become expected demands to the victim.In most cases by the time the victim has realized she does not want to comply with these demands, her abuser has already started demanding her compliance by hitting her. Now she does not know how to escape from her abuser. According to Encyclopedia Britannica for some victims the unrelenting cycle of violence produces diminished self-esteem, helplessness, depression, and exaggerated feelings of imprisonment, even the belief that they deserve the abuse. Once the victim has reached this phase of the relationship it becomes almost impossible for her to escape.She is under the impression that if she leaves, her abuser will find her and hurt her even worse, and possibly even kill her. She may also believe that there is no point in leaving because her abuser has made her believe that he is the only one who could ever love her, and that nobody else could ever want her. This fear of total loneliness if she was to leave can be enough to make her stay. At this point the self-esteem is so low that she needs what small portion of distorted attention she does get from her abuser. The Effects on ChildrenWhile a woman is dealing with this amount of abuse from her abuser, if she is a mother, she may not realize the consequences her child is suffering. While she may feel she is protecting her child from this violence by sending them to their room prior to an argument, many children report witnessing the violence anyway. According to the Domestic Violence Resource Center studies suggest that 3. 3-10 million children witness some form of domestic violence annually. Witnessing this violence can have a lasting effect on children.These effects may include behavioral problems such as aggression, phobias, insomnia, low self-esteem, and depression (Myers, 2006). The aggression that can occur from seeing violence like this can spill over into a child’s own social life. It can affect friendships and cause many problems in school. Being forced to deal with these feelings alone could obviously adversely af fect a child’s learning experience at school and make it nearly impossible to develop and maintain healthy relationships with their peers. These are the effects from just witnessing violence between their parents.This doesn’t include what can happen if a child is caught in the crossfire. There are a terrifying amount of children who are also subject to the physical abuse themselves. So, in addition to seeing the one person who tried to protect them get abused, they are now bearing the brunt of some of these attacks. According to the Domestic Violence Resource Center (2010) In a national survey of American families, 50% of the men who frequently assaulted their wives also frequently abused their children. [pic] This puts a whole new perspective on things for the mothers now.The mothers who have been trying to protect their children from seeing the violence have left their children vulnerable to being abused also. This is a serious and vicious cycle that has to be broken . Children who view this kind of violence and are subject to it themselves will most likely be abusers in their adult life. So what is to be done? Where do these desperate victims and their helpless children turn in these terrifying moments? The Role of Police The victims, of course, have the option of calling the police. However, many women fear calling the police for a variety of reasons.According to Doak (2007) when forty one women were interviewed to find out what kept them from calling the police the factors cited included the idea that they must have physical proof that battering had occurred, the desire to avoid a humiliating physical examination in the case of rape or sexual abuse, cultural attitudes about domestic violence, poor self-esteem, being physically prevented from calling the police by the batterer, poor police response when battering was previously reported, and fears of possible retaliation by the batterer or removal of children from the home by protective servic es.This is a heavy burden to bear for a woman who is already in an extremely volatile situation, doing everything in her power to protect herself and her child. When her last resort is calling the police because she does not know where to go or how to even get out, she needs to know that she can depend on them to â€Å"protect and serve† she and her child and send a strong message to their batterer.When the victim gets the courage and opportunity to finally call the police in an effort to save herself and child the police need to be diligent in helping the victims find resources to get away from the home and away from the abuser at least long enough until the abuser is required to go to court. There is no guarantee that the punishment will be significant enough to make the victim’s home safe for her again, but until that is determined, she and possibly her child will need a safe place to go.Consequences for the Abuser The consequences are not consistent enough for the abuser which makes it difficult for the current victims to feel safe, and it means that in the future another victim could potentially suffer at the hands of this person. Many courts are now using batterer intervention programs instead of incarceration for the offenders. The effectiveness of this does not seem to be very notable. According to the National Institute of Justice two valuations of programs in Broward County, Florida, and Brooklyn, New York, based on rigorous experimental designs, claim that batter treatment programs have little or no effect. If this is the case, then how are the victims supposed to feel safe in their own home? Their abuser gets arrested and sentenced to a batterer treatment program, only for him to leave with the same attitude as he went in with. That is if he even completes the class. Then he is most likely angrier because he had to go through it in the first place; therefore leaves him more likely to recidivate.These batterers need to be supervised mo re thoroughly while they are enrolled in such programs to ensure their rehabilitation, should this be the course of action the courts decide to take in a particular case. Instead it seems that the people in charge of ensuring victim’s safety are merely handing out â€Å"slaps on the wrist†. Recent history has shown that this is not an effective method of repercussion for the offenders, nor does it provide any solace for the victims. There are so many factors in a situation of Domestic Violence.From the start of the relationship where the abuser begins manipulating the victim to obtain control of her, through each step from verbal to ultimately physical abuse. The abusers make their victims feel like they are signing their own death certificate if they try to leave. This is enough to leave any victim afraid to ask for help. Domestic violence has such an impact on so many lives. Outside family members often are unaware of the violence. Also, in staggering amounts of case s, inside family members such as children are all too aware.These abusers are so vicious that they have poisoned their victims with fear. In their minds, the threat of their attackers supersedes any protection law enforcement may offer because in reality all they have is a piece of paper between the two of them. This is a behavior that could gradually be changed if our justice system would remain firm and consistent with the offenders. This would show the victims that they do have a choice. They would know that they could break free from these unstable, unrelenting predators and start their lives over.Nobody in this world deserves to feel dehumanized by anyone nor should any one person ever feel like they have that amount of control over another life. It is imperative to get this message through to all abusers and their victims so this cycle of abuse can cease once and for all.ReferencesDoak, M. J. (2007). Information Plus Reference Series. Detroit, MI: Thompson Gale. Domestic Viole nce (2010). In  Encyclopedia Britannica. Retrieved October 09, 2010, from Encyclopedia Britannica Online:   http://www. britannica. com/EBchecked/topic/168589/domestic-violenceDomestic Violence Resource Center. 2010). Domestic Violence Resource Center. Retrieved from http://www. dvrc-or. org/domestic/violence/resources/C61/#domestic-violence Myers, John E. B.. (2006). Child Protection in America: Past, Present, and Future. Oxford University Press USA. Retrieved 9 October 2010, from Shannon, J. B. (2009).Domestic Violence Sourcebook  (3rd ed. ). Detroit, MI: Omnigraphics. US Dept of Justice. (2003). NIJ Special Report. Retrieved from http://www. ncjrs. gov/pdffiles1/nij/195079. pdf

Netflix Case Study

Running Head: NETFLIX ON THE MOVE CHANGES IN THE MOVIE RENTAL BUSINESS Contents Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 3 Changes Within The Movie Rental Business†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 4 NetFlix History and Strategies†¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 6 Analyzing NetFlix Results†¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 9 Review and Recommendations†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 10 Conclus ion†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 12 References†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 13 Introduction Impressive is the company that is able to make it to the top of their industry in quick fashion and remain there atop of all the rest of the industries.Taking away market share from other established companies is a feat that does not occur by accident. NetFlix is a company that was born in 1997 and by 2007 had revenues exceeding $1 billion. Not all competitors were prepared to handle the new strategies being employed by NetFlix and some fell quickly. Strategies and changes within the movie rental business that allowed NetFlix to accomplish such a qu ick business success story and others to fall just as quickly will be explored to give a clear picture of some of the external factors that were relevant in the NetFlix movement.By reviewing and analyzing some of the business decisions by NetFlix over the past 10 years, it will provide a better understanding of the effects of these decisions. Although NetFlix has obtained some great results over these years, there are also lessons to be learned and recommendations that can be given so that some of the less beneficial business decisions will not be repeated. This exploration of the NetFlix business strategy and the results from executing their strategies will help gain insight on how important it is to stay involved with the customer and satisfy the needs of the market.Changes Within the Movie Rental Business The video rental industry has reinvented itself often and in impressive fashion. Providing entertainment in the most convenient and cost-effective fashion has become the motivat or for multiple changes within the industry. The video industry began to take off in the 1980’s with larger chains like Blockbuster and Movie Gallery rising over the previous smaller shops. These new avenues are providing videos granted a better selection and often better pricing for the common video consumer.The popularity of these chains became more popular around the world and the businesses kept adding buildings and locations and became very popular for their wide selections, reasonable prices, and membership perks. Before long, these businesses added the increasingly growing gaming rentals as well making it convenient to now rent games for a much lower cost than purchasing the games. Convenience was impacted once again as NetFlix came on the scene in the late 1990’s. No other businesses had made efforts to use the unorthodox method of mailing DVDs to their customers.Rather than jumping in the car and heading to the nearest video store, NetFlix capitalized on bring ing the videos to the customer using their mailbox. Not only was it convenient, NetFlix allowed customers to hang on to the DVD without incurring late fees until the customer was ready to return and pick a new movie to be shipped out. Rather than a charge for each movie as the traditional method was for all other players, NetFlix charged in a monthly fee structure that allowed movie watchers to continue to watch videos as quickly as they could watch and send back with a request for a new movie.Although NetFlix was at first looked at as a non-threat with their entrance into the market, it was not long before others began make efforts to copy the methods that NetFlix had brought to life. â€Å"Further fueled by convenience, hassle-free Redbox kiosks offering $1 new releases at your local grocery store or gas station came on to the scene in 2004 and had grown to more than 25,000 kiosks by the year 2011† (Sunderland, 2011). Redbox began as an adventure with McDonald’s in o rder to add more convenience for the McDonald’s customers.In 2004, the concept of Redbox really started gaining steam. â€Å"With the majority of locations at McDonald’s restaurants, early headlines read, â€Å"Would you like a DVD with your fries? † and â€Å"Order Your Big Mac and DVD to Go† (The History of Redbox). And what are the newest trends in making video rental even more convenient? Video streaming has taken movie watching to a new level as there are multiple companies competing in this method of delivering a wide selection of movies and TV episodes over the internet.However, NetFlix has had a start on its competition by emerging as the world’s largest subscription service for movie watchers with over 15 million subscribers in 2010 (Gamble, Thompson, Peteraf, 2013). NetFlix has enjoyed being at the top of the industry until recently. Over the past 10 years, NetFlix stock has increased 1700% (Wofford, 2013). The difference today is that o ther businesses have caught on to the successful NetFlix strategies and methods. Competition has risen significantly in the internet streaming method of delivering movies conveniently to home watchers.Amazon Prime is one of NetFlix’s recent competitors in both the DVD rental and the streaming internet video. Amazon Prime is another company that has significant and impressive growth in the past 10 years as stocks have soared over 1,100% (Wofford, 2013). Although Amazon Prime had not reached the heights of growth as NetFlix has accomplished, the ride for Amazon Prime has been at a steadier pace. And there are others that have entered the DVD and internet streaming movie distribution as well. Even Walmart has begun to enter the internet streaming market to share in this growing method of convenient movie watching.DirecTV, Time Warner, DISH Network, AT&T, and Verizon are all companies that have created more competition in the market by utilizing existing or newer technology allow ing for more opportunity of movie and TV entertainment by providing convenient movie selections while sitting at home. NetFlix History and Strategies NetFlix was formed and incorporated in 1997 by two â€Å"new technology† entrepreneurs Reed Hastings and Marc Randolph (Funding Universe). The two entrepreneurs set out to sell and rent the recently created DVD over the internet and deliver to the renter’s mailbox.Few stores in 1997 carried DVDs which was new format that was new technology as compared to the video tape. Although the DVD players were expensive as they entered the market, the two entrepreneurs set their strategy that the DVD would soon replace the video tape and began to figure how to best get it to the movie watcher. Experimentation with different mailers ended with a package that would successfully be sent to and from the renter for the price of a postage stamp. The company began to purchase copies of the nearly 1,000 available titles available on DVD and with 30 employees opened for business on August14, 1998 (Funding Universe).Pricing and discounts were created to invite the consumer to rent more while giving ample time to watch the movies and return. Soon after opening, promotions were given through sweepstakes and additional free DVDs with the purchase of some brand name DVD players. Not only could movie watchers rent but they also could keep and purchase that same DVD if it was to their liking to do so. NetFlix was not born, however, to only send DVDs through the mail. As the name implies, the founders had a vision and strategy to expand further into the access that the internet would provide.With year after year major growth, in 2006 NetFlix ended the year with over 6. 3 million members (NetFlix). In 2007, NetFlix introduced to it’s members the ability to stream and watch movies and TV shows right on their personal computers. Now the challenge for the NetFlix team was to invent a way of getting streaming movies into eve ryone’s homes. And the strategy began new life again creating and experimenting with devices to attain this. After several ideas and some failed concepts, NetFlix strategy changed once again.The widespread adoption of broadband connections to the internet had taken place in consumer’s homes and Microsoft and NetFlix strategies met up. Microsoft had already put out the Xbox and had envisioned it to be more than just a serious gaming system. Microsof t found NetFlix’s ideas of streaming movies over the Xbox device to the screen to be a good fit. Soon, many other devices and TVs were built with a chip and the NetFlix application to stream thousands of movies and TV shows right to the living room. NetFlix continued to grow and be the leaders in this industry while taking away market share rom other â€Å"traditional† methods of renting and watching videos. NetFlix management believed that the subscriber consisted of three types of customers: those who liked c onvenience of home delivery, bargain hunters who liked a good priced movie, and movie buffs who wanted a wide selection of movies (Gamble, Thompson, Peteraf, 2013). The content was a weak spot for NetFlix, however. Despite having a now large movie rental business, NetFlix did not have the contacts it needed to bring the wide selection of Hollywood movies to the consumer’s screens.Although access to NetFlix may be cutting edge, few would watch if it only had older videos and TV shows (Roth, 2009). NetFlix began to search out ways to combine forces with other businesses that would give them access to more content. Not only was it lacking in content, but also needed to somehow gain access to the movie blockbusters much sooner. In many cases, hit movies would not be available to NetFlix for months and in some cases it would be years before these would be able to be watched by NetFlix subscribers.In 2008, NetFlix found agreement with Starz enabling the addition of 2,500 fresh vide os to NetFlix’s services (Roth, 2009). Underlying NetFlix’s great success from the years 2007 – 2011 was the understanding that they had to deliver additional content and make more available for streaming. Another strategy emerged in September 2011. Hastings announced that the company would charge separately for DVD rental and streaming video and that a new company named Qwikster would be formed to handle the DVD rental portion (Funding Universe).With substantial increases to consumers and issues like separate billings, users began to voice their displeasure with this strategy and many subscribers began to cancel their subscription. New subscriptions began to suffer as well with the new format and the price increase that was introduced. NetFlix reasoned that the change was needed due to the increase costs in licensing and streaming videos (Seeking Alpha, 2013). It was not long before the outcry of the customer and the loss of subscribers made Hastings rethink th is strategy.By the end of 2011, Hastings admitted that strategy was not appropriate and dropped the division of the DVD and streaming making them once again one entity. But by then, damage had been done and the poor strategy had taken its toll on the business while its stock had dropped by 75% (Funding Universe). The current strategy being pursued by NetFlix is one of moving to International expansion. Though many countries may not have the infrastructure in place to be able to stream from the internet, many countries do and this may be a unique opportunity for NetFlix to continue to grow.NetFlix has gained over 6 million subscribers within two years of its launch into International markets (Forbes, 2013). Although NetFlix seems to be leading now in the movie streaming industry just as it did with its strategy to mail deliver DVDs, competition is already on its way in the streaming movie business. Competition will continue to come up with their own unique strategies in their efforts to steal away some of the market share and success that has enabled NetFlix to continue to be successful. Analyzing NetFlix ResultsThe successful results of NetFlix over the years since its beginning can be seen in many statistical views. Focusing on the customer to tell us how NetFlix has performed would show us that from 2002 it grew from 600,000 members to over 6,000,000 members in 2006 (NetFlix). Each year after, NetFlix has gained a substantial quantity of members and in 2010 had over 20,000,000 members (NetFlix). Although there was a loss of subscribers in 2012 due to the Qwikster strategy of about 1 million subscribers, 2013 is estimated that NetFlix has over 33,000,000 subscribers in 40 different countries (Market Watch, 2013).The rebound has definitely made up for the loss of a year ago. This is amazing growth in a short amount of time and NetFlix has done well to keep ahead of its growth with its infrastructure and planning. Many of the new subscribers every year were cus tomers to local video outlets which have now suffered the reduction in business due to NetFlix’s success. The opposite effect of NetFlix’s success can be seen in businesses like Movie Gallery and Blockbuster as they have taken a large hit even to the extent of bankruptcy.Although it may be a short trip down to the video store, consumers have definitely shown by the numbers of subscribers that they enjoy the benefit and value of being able to have the movies come to them. Revenues are another way to show the success of NetFlix over the past 15 years. Like many other startup companies, the early years were not profitable. In 1999, the coming had to swallow $30 million in losses on only $5 million dollars of revenue (Funding Universe). However, by 2005 revenues had exceeded $600 million with net income of $42 million (Gamble, Thompson, Peteraf, 2013).By 2008, these amounts had doubled (Gamble, Thompson, Peteraf, 2013) and in 2012 NetFlix reported $3. 6 billion of revenue which was increase from the prior year by about 12% with $226 million net income (Bloomberg Business Week, 2013) . 2011 saw about a large growth of about 48% when compared to 2010 and while there was some growth of competitors in the recent years, many have seen negative growth in revenues partly due to the success of NetFlix. NetFlix has dominated market share in the digital on-line viewing of movies. According to a report by Sandvine Inc. in 2012, Netflix had captured 33% of prime-time web viewing (Edwards, 2012).As well, NetFlix has gained over 61% of all movie watching in the United States and with its aggressive strategy marches on to increase that as well as move aggressively internationally. Although international business continues to grow in subscribers, it is not yet profitable and currently is erasing much of the profits of the US business. It will take some time to get established internationally and provide profits. Stock prices for NetFlix had escalated significantly f rom the 2009 level of about $30 per share to the peak high value of $300 per share in 2011, but began a sharp downward trend in 2011 after the introduction of Qwikster.Basic earnings per share rose from a 2009 level of $2. 05 to that of $4. 28 in 2011 (NetFlix Investor Relations). It has taken some time to rebound from the events that surrounded the Qwikster disappointment, but stocks now seem to be continuing to increase as they appear to be reaching toward the $175 per share level. Review and Recommendations Over the short existence of the NetFlix company, it has done a good job at giving the customer what it has wanted and more. Over 90% of subscribers have indicated that they would recommend the NetFlix service to a friend (Gamble, Thompson, Peteraf, 2013).NetFlix has been able to stay ahead of the rest of the movie rental industry by staying in touch with their customers and providing the services and movie selections that are important to them. The software that NetFlix has de veloped has made it easy for the customer to choose movies by categories and provides detail for each movie that helps subscribers make their decisions as to what to watch. The NetFlix software is also able to personalize the movie selection experience by capturing what the viewer has chosen before and what likes and dislikes the viewer has recorded after watching their selection.This personalization brings to the subscribers attention other movies that they may want to watch based on their preferences and likes in the past. NetFlix has given the opportunity for first time users to use the NetFlix services for an entire month for free. This allows the customer to feel like they are getting a real bargain as well as gives them ample time to try out the service before paying for it. The pricing structures that NetFlix has instituted gives the subscriber options as to how many DVDs can be rented at a time along with unlimited streaming.The $8. 99 membership is a bargain as unlimited DV Ds and unlimited streaming of movies is included. The largest interruption to the NetFlix business was in 2011 when it decided to split the DVD portion of the business separately from the internet streaming portion. This move was not along the same lines as their customers were wanting. Qwikster was the new company that would handle all of the DVD rentals and NetFlix would continue to provide the streaming video. The two companies would not be separate and charge separately as well for their services.With this change, a large price increase would be incurred as well as subscribers would pay separately for each service. It almost seems as though in this instance that NetFlix was not interested in what their customers wanted. The strategy to break these services into two distinct companies was not born from what would satisfy the customer but was rather an internal strategy to satisfy what the owners of NetFlix thought to be advantageous. Along with the change, the communication to th e subscribers was ineffective and poorly distributed.This poor decision did not sit well with about 1 million lost customers and stock prices fell dramatically during this period. After the fact, NetFlix heard the voices of the customer and decided to abandon this strategy and go back to the original format, but the damage had been done. The recommendation here is to find out what the customer views as important before fully developing and implementing new changes. NetFlix had been following this well until the 2011 Qwikster event.Now they have learned the hard way how important it is to know what the customer views as valuable in their services. Even with the loss of 1 million customers, NetFlix began to rebound and grow with additional subscribers, but how much more could they have accomplished without this major set- back. Conclusion I have enjoyed the services that NetFlix has provided related to DVD rentail and streaming movies and TV shows over the internet right to my living room. NetFlix has worked hard to ensure that their customers have many selections at a reasonable price.The company has grown substantially year after year with more customers, revenues, and profits and has taken and maintains the lead in this industry. Although this success has come quickly, it has not come easy. NetFlix has had to effectively plan, implement, and successfully change its strategies to satisfy its customers and stay in the industry lead. It has done well in implementing these strategies and the results speak for themselves. References The History of Redbox. (n. d. ). Retrieved from http://www. edbox. com/timeline Sunderland, N. (2011). Convenience: The past and future of movie rentals. Retrieved from http://www. tetonvalleynews. net/entertainment/movies/convenience-the-past-and-future-of-movie-rentals/article_d88d5148-5000-11e0-8a97-001cc4c03286. html Gamble, J. E. , Thompson, A. A. , & Peteraf, M. A. (2013). Essentials of strategic management (3rd ed. ). pp. 277-30 3. Location: Mcgraw-Hill Irwin Wofford, T. (2013). How these companies are streaming money. Retrieved from http://beta. fool. om/tlwofford/2013/01/13/online-video-streaming-performing-well/20918/ Funding Universe. (n. d. ) Retrieved from http://www. fundinguniverse. com/company-histories/NetFlix-inc-history/ NetFlix. (n. d. ) Retrieved from https://signup. netflix. com/MediaCenter/Timeline Roth, D. (2009). Netflix everywhere: sorry cable, you’re history. Retrieved from http://www. wired. com/techbiz/it/magazine/17-10/ff_netflix? currentPage=all Seeking Alpha. (2013). Domestically funding international growth: the NetFlix strategy. Retrieved from http://seekingalpha. om/article/1293701-domestically-funding-international-growth-the-netflix-strategy Forbes. (2013). Sizing up NetFlix’s international subscriber growth potential. Retrieved from http://www. forbes. com/sites/greatspeculations/2013/03/05/sizing-up-netflixs-international-subscriber-growth-potential/ Market Watc h. (2013). NetFlix to announce first-quarter 2013 financial results. Retrieved from http://www. marketwatch. com/story/netflix-to-announce-first-quarter-2013-financial-results-2013-04-02 Bloomberg Business Week. (2013). Retrieved from http://investing. usinessweek. com/research/stocks/earnings/earnings. asp? ticker=NFLX Edwards, C. (2012). Bloomberg. NetFlix dominates streaming rivals in web-video market. Retrieved by http://www. bloomberg. com/news/2012-11-07/netflix-dominates-streaming-rivals-with-growing-web-video-share. html O’Neil, M. (2011). Social Times. NetFlix owns 61% of US digital movie market share. Retrieved from http://socialtimes. com/netflix-infographic_b73597 NetFlix Investor Relations (n. d. ) 2011 Annual report. Retrieved from http://ir. netflix. com/annuals. cfm Netflix Case Study Running Head: NETFLIX ON THE MOVE CHANGES IN THE MOVIE RENTAL BUSINESS Contents Introduction†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 3 Changes Within The Movie Rental Business†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 4 NetFlix History and Strategies†¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 6 Analyzing NetFlix Results†¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 9 Review and Recommendations†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 10 Conclus ion†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 12 References†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 13 Introduction Impressive is the company that is able to make it to the top of their industry in quick fashion and remain there atop of all the rest of the industries.Taking away market share from other established companies is a feat that does not occur by accident. NetFlix is a company that was born in 1997 and by 2007 had revenues exceeding $1 billion. Not all competitors were prepared to handle the new strategies being employed by NetFlix and some fell quickly. Strategies and changes within the movie rental business that allowed NetFlix to accomplish such a qu ick business success story and others to fall just as quickly will be explored to give a clear picture of some of the external factors that were relevant in the NetFlix movement.By reviewing and analyzing some of the business decisions by NetFlix over the past 10 years, it will provide a better understanding of the effects of these decisions. Although NetFlix has obtained some great results over these years, there are also lessons to be learned and recommendations that can be given so that some of the less beneficial business decisions will not be repeated. This exploration of the NetFlix business strategy and the results from executing their strategies will help gain insight on how important it is to stay involved with the customer and satisfy the needs of the market.Changes Within the Movie Rental Business The video rental industry has reinvented itself often and in impressive fashion. Providing entertainment in the most convenient and cost-effective fashion has become the motivat or for multiple changes within the industry. The video industry began to take off in the 1980’s with larger chains like Blockbuster and Movie Gallery rising over the previous smaller shops. These new avenues are providing videos granted a better selection and often better pricing for the common video consumer.The popularity of these chains became more popular around the world and the businesses kept adding buildings and locations and became very popular for their wide selections, reasonable prices, and membership perks. Before long, these businesses added the increasingly growing gaming rentals as well making it convenient to now rent games for a much lower cost than purchasing the games. Convenience was impacted once again as NetFlix came on the scene in the late 1990’s. No other businesses had made efforts to use the unorthodox method of mailing DVDs to their customers.Rather than jumping in the car and heading to the nearest video store, NetFlix capitalized on bring ing the videos to the customer using their mailbox. Not only was it convenient, NetFlix allowed customers to hang on to the DVD without incurring late fees until the customer was ready to return and pick a new movie to be shipped out. Rather than a charge for each movie as the traditional method was for all other players, NetFlix charged in a monthly fee structure that allowed movie watchers to continue to watch videos as quickly as they could watch and send back with a request for a new movie.Although NetFlix was at first looked at as a non-threat with their entrance into the market, it was not long before others began make efforts to copy the methods that NetFlix had brought to life. â€Å"Further fueled by convenience, hassle-free Redbox kiosks offering $1 new releases at your local grocery store or gas station came on to the scene in 2004 and had grown to more than 25,000 kiosks by the year 2011† (Sunderland, 2011). Redbox began as an adventure with McDonald’s in o rder to add more convenience for the McDonald’s customers.In 2004, the concept of Redbox really started gaining steam. â€Å"With the majority of locations at McDonald’s restaurants, early headlines read, â€Å"Would you like a DVD with your fries? † and â€Å"Order Your Big Mac and DVD to Go† (The History of Redbox). And what are the newest trends in making video rental even more convenient? Video streaming has taken movie watching to a new level as there are multiple companies competing in this method of delivering a wide selection of movies and TV episodes over the internet.However, NetFlix has had a start on its competition by emerging as the world’s largest subscription service for movie watchers with over 15 million subscribers in 2010 (Gamble, Thompson, Peteraf, 2013). NetFlix has enjoyed being at the top of the industry until recently. Over the past 10 years, NetFlix stock has increased 1700% (Wofford, 2013). The difference today is that o ther businesses have caught on to the successful NetFlix strategies and methods. Competition has risen significantly in the internet streaming method of delivering movies conveniently to home watchers.Amazon Prime is one of NetFlix’s recent competitors in both the DVD rental and the streaming internet video. Amazon Prime is another company that has significant and impressive growth in the past 10 years as stocks have soared over 1,100% (Wofford, 2013). Although Amazon Prime had not reached the heights of growth as NetFlix has accomplished, the ride for Amazon Prime has been at a steadier pace. And there are others that have entered the DVD and internet streaming movie distribution as well. Even Walmart has begun to enter the internet streaming market to share in this growing method of convenient movie watching.DirecTV, Time Warner, DISH Network, AT&T, and Verizon are all companies that have created more competition in the market by utilizing existing or newer technology allow ing for more opportunity of movie and TV entertainment by providing convenient movie selections while sitting at home. NetFlix History and Strategies NetFlix was formed and incorporated in 1997 by two â€Å"new technology† entrepreneurs Reed Hastings and Marc Randolph (Funding Universe). The two entrepreneurs set out to sell and rent the recently created DVD over the internet and deliver to the renter’s mailbox.Few stores in 1997 carried DVDs which was new format that was new technology as compared to the video tape. Although the DVD players were expensive as they entered the market, the two entrepreneurs set their strategy that the DVD would soon replace the video tape and began to figure how to best get it to the movie watcher. Experimentation with different mailers ended with a package that would successfully be sent to and from the renter for the price of a postage stamp. The company began to purchase copies of the nearly 1,000 available titles available on DVD and with 30 employees opened for business on August14, 1998 (Funding Universe).Pricing and discounts were created to invite the consumer to rent more while giving ample time to watch the movies and return. Soon after opening, promotions were given through sweepstakes and additional free DVDs with the purchase of some brand name DVD players. Not only could movie watchers rent but they also could keep and purchase that same DVD if it was to their liking to do so. NetFlix was not born, however, to only send DVDs through the mail. As the name implies, the founders had a vision and strategy to expand further into the access that the internet would provide.With year after year major growth, in 2006 NetFlix ended the year with over 6. 3 million members (NetFlix). In 2007, NetFlix introduced to it’s members the ability to stream and watch movies and TV shows right on their personal computers. Now the challenge for the NetFlix team was to invent a way of getting streaming movies into eve ryone’s homes. And the strategy began new life again creating and experimenting with devices to attain this. After several ideas and some failed concepts, NetFlix strategy changed once again.The widespread adoption of broadband connections to the internet had taken place in consumer’s homes and Microsoft and NetFlix strategies met up. Microsoft had already put out the Xbox and had envisioned it to be more than just a serious gaming system. Microsof t found NetFlix’s ideas of streaming movies over the Xbox device to the screen to be a good fit. Soon, many other devices and TVs were built with a chip and the NetFlix application to stream thousands of movies and TV shows right to the living room. NetFlix continued to grow and be the leaders in this industry while taking away market share rom other â€Å"traditional† methods of renting and watching videos. NetFlix management believed that the subscriber consisted of three types of customers: those who liked c onvenience of home delivery, bargain hunters who liked a good priced movie, and movie buffs who wanted a wide selection of movies (Gamble, Thompson, Peteraf, 2013). The content was a weak spot for NetFlix, however. Despite having a now large movie rental business, NetFlix did not have the contacts it needed to bring the wide selection of Hollywood movies to the consumer’s screens.Although access to NetFlix may be cutting edge, few would watch if it only had older videos and TV shows (Roth, 2009). NetFlix began to search out ways to combine forces with other businesses that would give them access to more content. Not only was it lacking in content, but also needed to somehow gain access to the movie blockbusters much sooner. In many cases, hit movies would not be available to NetFlix for months and in some cases it would be years before these would be able to be watched by NetFlix subscribers.In 2008, NetFlix found agreement with Starz enabling the addition of 2,500 fresh vide os to NetFlix’s services (Roth, 2009). Underlying NetFlix’s great success from the years 2007 – 2011 was the understanding that they had to deliver additional content and make more available for streaming. Another strategy emerged in September 2011. Hastings announced that the company would charge separately for DVD rental and streaming video and that a new company named Qwikster would be formed to handle the DVD rental portion (Funding Universe).With substantial increases to consumers and issues like separate billings, users began to voice their displeasure with this strategy and many subscribers began to cancel their subscription. New subscriptions began to suffer as well with the new format and the price increase that was introduced. NetFlix reasoned that the change was needed due to the increase costs in licensing and streaming videos (Seeking Alpha, 2013). It was not long before the outcry of the customer and the loss of subscribers made Hastings rethink th is strategy.By the end of 2011, Hastings admitted that strategy was not appropriate and dropped the division of the DVD and streaming making them once again one entity. But by then, damage had been done and the poor strategy had taken its toll on the business while its stock had dropped by 75% (Funding Universe). The current strategy being pursued by NetFlix is one of moving to International expansion. Though many countries may not have the infrastructure in place to be able to stream from the internet, many countries do and this may be a unique opportunity for NetFlix to continue to grow.NetFlix has gained over 6 million subscribers within two years of its launch into International markets (Forbes, 2013). Although NetFlix seems to be leading now in the movie streaming industry just as it did with its strategy to mail deliver DVDs, competition is already on its way in the streaming movie business. Competition will continue to come up with their own unique strategies in their efforts to steal away some of the market share and success that has enabled NetFlix to continue to be successful. Analyzing NetFlix ResultsThe successful results of NetFlix over the years since its beginning can be seen in many statistical views. Focusing on the customer to tell us how NetFlix has performed would show us that from 2002 it grew from 600,000 members to over 6,000,000 members in 2006 (NetFlix). Each year after, NetFlix has gained a substantial quantity of members and in 2010 had over 20,000,000 members (NetFlix). Although there was a loss of subscribers in 2012 due to the Qwikster strategy of about 1 million subscribers, 2013 is estimated that NetFlix has over 33,000,000 subscribers in 40 different countries (Market Watch, 2013).The rebound has definitely made up for the loss of a year ago. This is amazing growth in a short amount of time and NetFlix has done well to keep ahead of its growth with its infrastructure and planning. Many of the new subscribers every year were cus tomers to local video outlets which have now suffered the reduction in business due to NetFlix’s success. The opposite effect of NetFlix’s success can be seen in businesses like Movie Gallery and Blockbuster as they have taken a large hit even to the extent of bankruptcy.Although it may be a short trip down to the video store, consumers have definitely shown by the numbers of subscribers that they enjoy the benefit and value of being able to have the movies come to them. Revenues are another way to show the success of NetFlix over the past 15 years. Like many other startup companies, the early years were not profitable. In 1999, the coming had to swallow $30 million in losses on only $5 million dollars of revenue (Funding Universe). However, by 2005 revenues had exceeded $600 million with net income of $42 million (Gamble, Thompson, Peteraf, 2013).By 2008, these amounts had doubled (Gamble, Thompson, Peteraf, 2013) and in 2012 NetFlix reported $3. 6 billion of revenue which was increase from the prior year by about 12% with $226 million net income (Bloomberg Business Week, 2013) . 2011 saw about a large growth of about 48% when compared to 2010 and while there was some growth of competitors in the recent years, many have seen negative growth in revenues partly due to the success of NetFlix. NetFlix has dominated market share in the digital on-line viewing of movies. According to a report by Sandvine Inc. in 2012, Netflix had captured 33% of prime-time web viewing (Edwards, 2012).As well, NetFlix has gained over 61% of all movie watching in the United States and with its aggressive strategy marches on to increase that as well as move aggressively internationally. Although international business continues to grow in subscribers, it is not yet profitable and currently is erasing much of the profits of the US business. It will take some time to get established internationally and provide profits. Stock prices for NetFlix had escalated significantly f rom the 2009 level of about $30 per share to the peak high value of $300 per share in 2011, but began a sharp downward trend in 2011 after the introduction of Qwikster.Basic earnings per share rose from a 2009 level of $2. 05 to that of $4. 28 in 2011 (NetFlix Investor Relations). It has taken some time to rebound from the events that surrounded the Qwikster disappointment, but stocks now seem to be continuing to increase as they appear to be reaching toward the $175 per share level. Review and Recommendations Over the short existence of the NetFlix company, it has done a good job at giving the customer what it has wanted and more. Over 90% of subscribers have indicated that they would recommend the NetFlix service to a friend (Gamble, Thompson, Peteraf, 2013).NetFlix has been able to stay ahead of the rest of the movie rental industry by staying in touch with their customers and providing the services and movie selections that are important to them. The software that NetFlix has de veloped has made it easy for the customer to choose movies by categories and provides detail for each movie that helps subscribers make their decisions as to what to watch. The NetFlix software is also able to personalize the movie selection experience by capturing what the viewer has chosen before and what likes and dislikes the viewer has recorded after watching their selection.This personalization brings to the subscribers attention other movies that they may want to watch based on their preferences and likes in the past. NetFlix has given the opportunity for first time users to use the NetFlix services for an entire month for free. This allows the customer to feel like they are getting a real bargain as well as gives them ample time to try out the service before paying for it. The pricing structures that NetFlix has instituted gives the subscriber options as to how many DVDs can be rented at a time along with unlimited streaming.The $8. 99 membership is a bargain as unlimited DV Ds and unlimited streaming of movies is included. The largest interruption to the NetFlix business was in 2011 when it decided to split the DVD portion of the business separately from the internet streaming portion. This move was not along the same lines as their customers were wanting. Qwikster was the new company that would handle all of the DVD rentals and NetFlix would continue to provide the streaming video. The two companies would not be separate and charge separately as well for their services.With this change, a large price increase would be incurred as well as subscribers would pay separately for each service. It almost seems as though in this instance that NetFlix was not interested in what their customers wanted. The strategy to break these services into two distinct companies was not born from what would satisfy the customer but was rather an internal strategy to satisfy what the owners of NetFlix thought to be advantageous. Along with the change, the communication to th e subscribers was ineffective and poorly distributed.This poor decision did not sit well with about 1 million lost customers and stock prices fell dramatically during this period. After the fact, NetFlix heard the voices of the customer and decided to abandon this strategy and go back to the original format, but the damage had been done. The recommendation here is to find out what the customer views as important before fully developing and implementing new changes. NetFlix had been following this well until the 2011 Qwikster event.Now they have learned the hard way how important it is to know what the customer views as valuable in their services. Even with the loss of 1 million customers, NetFlix began to rebound and grow with additional subscribers, but how much more could they have accomplished without this major set- back. Conclusion I have enjoyed the services that NetFlix has provided related to DVD rentail and streaming movies and TV shows over the internet right to my living room. NetFlix has worked hard to ensure that their customers have many selections at a reasonable price.The company has grown substantially year after year with more customers, revenues, and profits and has taken and maintains the lead in this industry. Although this success has come quickly, it has not come easy. 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