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B. The Customer Environment

      Netflix is available in 190 countries and expanding. The largest age demographic currently using Netflix are between sixteen and twenty four. The Netflix try to create a best experience by offering a personalized search by categories depending on what the customer wants. The  page  try to match the members with a best option of content based on their preferences. Customer participation will be requested through, smartphone and video game console apps, email and U.S. postal mail. Netflix will continue to offer free 30 day trial offers. Original content ads will be available via social media, television, radio ads, billboards and more. Customer service is available through a 1-800 number with wait times less than one minute. Netflix also offers email contact and a “hat box to “communicate with representatives. 

C. The External Environment 


      What made Netflix grow from the beginning was the economies of scale developed yet during the change from VHS to DVD technology, while Blockbuster was the main brand in the market. Nowadays, Netflix has competition not only from companies that stream online their contents (Apple Tv, but mainly Amazon and Hulu Plus) but from companies that actually rent and sell (Amazon, Walmart, Apple, and mostly, the growing Redbox). However, the marketing strategy that circumvented and helped Netflix to have a competitive edge was the ability of streaming on televisions, iPhones, iPads, Xboxes, or online. The process is seamless, meaning that a consumer can easily move from one platform to another. None of Netflix’s competitors yet have this capability. The demand for multiple- platform streaming continues to grow, making this a high potential growth segment for Netflix. 

Sociocultural Trends

    Netflix changed how people watch a content (customer’s behavior) because before customers should have a specific device depending on whether it was dvd or VHS, but with online streaming, users can watch on any device anywhere, making it easier to access. Moreover, before you paid for the price of the product, now you pay for the service and have access to a vast content, which increases the cost benefit. However Netflix still maintains the home delivery service.

Technological Advancements

    Netflix excelled by marketing entrance in the area of online streaming and was the company to invest to change from VHS to DVD. Nowadays, users can access the content on several platforms. Moreover, Netflix is working to increase the streaming quality when you have less good internet quality so it would be able to propose their service to an even larger population.

Political Trends
       Netflix might be influenced by changing laws concerning copyrights of certain kinds of content, like the television and movie shows and contents that the company provides. Copyright law changes and network neutrality bill might affect Netflix ability to distribute this content to customers which could significantly impact business because this content might represent large segments of a company’s services offering. The FF restrictions, content monopolies and the Video Privacy Protection Act are other political issues involving Netflix.  About the content, there’s an agreement with the supplier that Netflix start to rent DVD after passing 28 days of the DVD o the market.

Economic Growth and Stability

     Netflix depends on the customer’s income and the economic growth because online streaming is seem as a luxury item. The competitive advantage (low monthly cost) to be maintained, it is essential to price competitively against rivals. Netflix is in growing phase and when economy is good, the employment rate is increasing, Netflix rise its subscriptions and by expanding first from the DVD rental to online streaming and after expanding to new international markets the revenue has increase by 500%.

Legal and Regulatory Issues

     Although piracy is a problem faced by Netflix, in recent years access to illegal titles has decreased and this is due to the ease and availability of Netflix that causes users to abandon piracy in favor of the multi-platform system and quality of display. The major problem that Netflix faces is about the content. In Europe, Netflix could be f