Blockbuster Case

The summarized definition of Myopia would be to have narrow vision and being short sighted when looking at things from a business stand point. The two companies that I chose were Blockbuster and Netflix. Blockbuster as my Victim Company and Netflix as my avoider company. Blockbuster is an example of a company who faced marketing myopia. Blockbuster assumed that there would always be demand for its product without thinking about the customers. Blockbuster was in the movie rental business and took a long time to evolve with the market.

The company thought that consumers were still interested in going to the store and rent their movies. However, consumers were tired of having to go to the store. Consumers were looking for an easier and more convenient option. Blockbuster tried to tempt consumers by reducing its price, offer different types of deals and got rid of late payment fees. Even though they did all of this Blockbuster still failed. By the time Blockbuster decided to evolve, it was too late. Blockbuster was the number one movie rental store.

This brings me to my avoider company Netflix. Netflix had replaced Blockbuster as the number one movie rental company. They offered movie rentals by ordering online and streaming it right after purchase. Blockbuster tried to make a comeback by deciding to offer online streaming but consumers were already hooked on Netflix. Netflix is also considered to be one of the most successful dot com businesses to date. As it stand Netflix is going to be around for a long time due to the fact that they are convenient and you get immediate results.