1
Netflix
Organizational Global Environment Analysis
Whitney Bryant
“Now, it‘s hard to imagine life without immediate access to Netflix‘s library
of on–demand TV shows and movies. True, its collection of content changes
like the weather, but that doesn‘t alter the fact that it has a reliably solid
core catalog—including critically acclaimed original programming —all
available at a reasonable monthly price.” (Max Eddy, 2018)
2
Whitney Bryant
Principles of Management
Professor Anthony Wade
4/19/18
The Organizational Global Environment of Netflix
Netflix is a unique ever changing global organization that millions of people have
subscribed to world-wide. It’s an entertainment company that was founded by Reed Hastings and
Marc Randolph on August 29. 1997. The output of this Fortune 500 company originally
started out by distributing products such as DVD movies out to customers via mail to their
homes. Now Netflix is available as an on the go or at home easily accessible app that specializes
in streaming videos and providing services such as watching TV shows now and films via the
app. Netflix is currently the 10th largest internet company by revenue in the world. Netflix has
been constantly changing and adapting to new customers and their fan base that is increasing
every day.
This company has been proven to succeed due to top-level management and Netflix
analyst who have done such a wonderful job at assessing its global environment outside of its
boundaries and having been allowing only certain factors to shape and affect its behaviors. There
are numerous components that have directly affected the success and alterations of Netflix’s
global environment and progress. The different factors that have affected Netflix’s global
organization general environment is the output, the adaption to socio-cultural trends, political
and legal trends in relation to Netflix, and the adaption to demographic changes. The main factor
3
that has affected Netflix’s competitive environment is the customers and competitors, all of
which will be discussed throughout this entire paper.
For Netflix to be profitable, changes were made to adjust and increase its overall
customer base. Socio-cultural trends are trends found in different businesses or organizations.
Believe it or not, certain customs, lifestyles and values that characterize a society or group can
severely impact the demand for an organization. Also, the concepts of culture, values and
attitudes can also impact the demand for a business. Due to many different effects Netflix
ultimately decided to start developing NEW TACTICS to attract more customers. In 2016 CEO
Reed Hastings announced that Netflix was changing over to a new leaf and would be streaming
and making services available worldwide. Currently at this point Netflix can almost be viewed
everywhere. Shortly after introducing video on demand in 2007, this company slowly began to
