Netflix swot analysis

Weakness :
Most companies have several weaknesses alongside their strengths. The companies may take strategies based to work on their weaknesses. Though Netflix is one of the top companies, there is a particular weakness that is working as a hindrance to its growth:

• Netflix has limited copyright, which tolls upon their revenue. The debts of the company are also increasing.
• There is a lack of original content in several countries. Therefore they have less demand for high price subscriptions in some countries.
• The company mostly depends on its North American customer base.
• Netflix lacks sound customer care executives, which harms customer service, leading to decreased customer satisfaction.

Opportunities:
The market is continually changing with increased demands, which helps any company aspiring for substantial growth. The need for OTT platforms is also rising, which is a good sign for Netflix. So, some of the significant opportunities that the firm can grasp from the current market are:

• As Netflix has a brand reputation, the great demand for OTT platforms in the current market can allow the brand to expand.
• Since Netflix is signing up for exclusive Netflix-only content, they can bring in other product lines, including video games, comic books, and more.
• Netflix is already a global presence. They can strengthen their subscriber base by a strategic partnership with local markets that will help them to capture the local market.
• The company can choose to work on new concepts that are better than other OTT platforms. Netflix has already said no to the traditional advertising-based business model, which is an opportunity for them to provide good customer service.

Threats:
For all the companies in the market, there are specific threats. The market has several OTT services, and the customers may choose based on their parameters. Therefore, excelling in almost all the possible parameters can be a solution to retain the position as the best. Even in that case, the companies may have to face the threats posed in the way of their expansion. As one of the biggest OTT companies, Netflix is not an exception. So, the threats and risks that Netflix is exposed to are:

• COVID-19 has affected the reproduction of new original shows and movies. Like most parts of the entertainment industry, Netflix is also affected by the pandemic. Gradually with normalization, the condition will improve.
• The government regulations in certain countries can hold them from expansion.
• Netflix is suffering majorly from content piracy. Many people choose to watch the pirated version of the original series available without paying, threatening the company.
• Another reason for fewer customers for Netflix is that many people share one account simultaneously.

Thank You For Attention