Reference no: EM133935504

Question: An understanding and passion for the stated strategy of Netflix and Amazon must match the organization's structure and strategy execution requirements. Choose the structure discussed in the chapter that best relates to your chosen organizations, Netflix and Amazon. With a much broader knowledge of the many required components that encourage success, it is challenging for organizations to execute and support their strategy properly, especially regarding the who, what, why, where, and when of that strategy. What are the organization's structure and strategy execution? Get top-notch online assignment help now.

Showcases used by the organization, such as Netflix and Amazon, exemplify strategic management excellence through transformative approaches. Netflix achieved a competitive advantage by pioneering streaming technology, using data-driven personalization, and investing in original content, essentially creating a blue ocean strategy that disrupted traditional entertainment. Amazon used a platform strategy and ecosystem development to grow its business. It did this by building economies of scale, locking in customers with Prime, and branching out into cloud computing. The organization often employs these strategies. Example 1: Netflix-Digital Transformation and First-Mover Advantage

Netflix exemplifies strategic foresight and successful pivoting. The company began as a DVD-by-mail service in 1997 but recognized early that streaming would revolutionize entertainment consumption. My experience with them began in the DVD-by-mail era, a service that directly challenged the incumbent, Blockbuster. Their strategic transformation involved several key elements:

The key strategies employed were Blue Ocean Strategy and Disruptive Innovation.
Netflix created an entirely new market space by shifting from physical media to streaming, essentially making traditional video rental stores obsolete. They didn't just compete with Blockbuster on convenience; they redefined how people consume entertainment.

Competitive Advantages:
- First-mover advantage in streaming technology and infrastructure.
- Data-driven personalization using viewing algorithms to recommend content.
- Vertical integration by investing heavily in original content production.
- Network effects where more subscribers attracted better content, which attracted more subscribers.

Their strategic decision to cannibalize their own DVD business to focus on streaming, even when it initially reduced profits, shows long-term strategic thinking over short-term gains.