Assignment 1- Entrepreneurship case Netflix
1. Describe the elements of the exchange process as they occur between Netflix and its customers.
Netflix allows customers to pick from a verity of subscription plans, then they send out three DVD’s from the top of the customers list. After the customers views the DVD’s, the customer simply sends the DVD’s back to Netflix, and the process repeats itself.
2. Which marketing management philosophy ...view middle of the document...
They listen to what their customers want. They provide superior customer value. They do not have an aggressive sales force; the customer decides to purchase the product. They understand the competition; Wal-Mart couldn’t match their value. Netflix is looking to the future by adding high definition DVD rentals.
3. How does Netflix’s approach to relationship marketing increase customer satisfaction?
It increases customer satisfaction, because Netflix can meet needs for customers that other companies cannot. Thus making the customers more satisfied with Netflix.
4. Have you been exposed to Netflix advertising? If so, did it have a positive or negative effect on you?
Yes, I have been exposed to Netflix advertising and to be honest I took the advertising as a positive reaction.
5. Netflix tried a different sales tactic over the holidays. The company offered a gifting option so one person could sign up and "gift" a trial subscription to another person. What is your opinion of this move by Netflix?
I think it’s a smart move for Netflix to do that for the holidays, because if a customer is satisfied with Netflix why not share it with friends or family. Plus it boost Netflix revenue up in the process.