Description
Project report on market power, competition and strategic interactions in platform entertainment industry. Focus on Netflix, Disney + and US platform market.
Project Brief
Report should include table of contents, exec summary, main report, and list of references.
My project looks at how a variety of economic issues, such as competition concerns about innovation, regulatory arbitrage, barriers to entry, and price setting, play out in the platform context. Looking at Netflix’s journey to dominant player, helping to understand what it takes to become and relevant in this market.
Specifically US market competition.
Netflix will be used as the lens with which we will explore the complexities of a market that takes place almost exclusively online.
Not expecting all academic papers to be directly related to Netflix.
Economic journals about platform markets, market power, strategic interactions and other related topics can be used to paint a cohesive picture of the market.
Conclusions
– This fast-paced industry brings together the internet and entertainment – requires participating firms to always adapt and innovate business strategies
– Platform entertainment market can be described as an oligopolistic market with degrees of monopoly power
– Could also look at Disney and Netflix as duopoly in some areas (with some assumptions about market)
– Netflix has the advantage as have been in the game longer – understands market better “first mover advantage”
– Disney+ is a late entry to market, but Disney already has great experience in entertainment industry – greater resources available
– Which factor will prove more useful in this industry competition? And why?
– What other factors may affect competition- e.g. end of lockdown/vaccines, customer satisfaction, alternatives?
– Use of existing statistics on market concentration to determine market power and dominance of relevant firms
– Evidence of product differentiation and use of other industrial economics as well as applied game theory to provide in-depth analysis on this online market.
– VALID methodology of statistical findings
– STRONG economic concepts
