Week 3: Netflix vs the World

Question 1

Which innovation test conducted by Netflix founders proved critical to the viability of their DVD-by-mail business model?

Answer 1

Testing if a DVD could survive being mailed in a paper envelope

Question 2

What was the most significant strategic mistake Blockbuster made in competing with Netflix?

Answer 2

Failing to leverage their physical stores as part of their online strategy earlier

Question 3

Which approach to innovation leadership did Reed Hastings demonstrate during the Qwikster crisis?

Answer 3

Willingness to cannibalize an existing business

Question 4

What key innovation in Netflix’s original content strategy disrupted traditional television production models?

Answer 4

Releasing entire seasons all at once

Question 5

What was Netflix’s primary innovation approach to developing its recommendation system?

Answer 5

Using data analytics to personalize recommendations