Daily chart: Mega phone. Apple’s new smartphone: Five out of ten. Netflix's lost year: The inside story of the price-hike train wreck. Reed Hastings stopped listening, and that's when the trouble started.
In the spring of 2011, Hastings, Netflix's widely admired chief executive, held a meeting with his management team and outlined his blueprint to jettison Netflix's DVD operations. Netflix managers would tell subscribers on July 12 that they planned to do away with a popular subscription that offered access to DVD rentals as well as unlimited on-demand streaming video for $10 per month.
DVDs and streaming would be separated and each would cost subscribers $7.99 a month, or $15.98 for both, about a 60 percent hike. The changes would take place in September. If you cancelled your Netflix subscription, have you returned? How Microsoft and Netflix Lost their Way - Boris Groysberg and Michael Slind. By Boris Groysberg and Michael Slind | 10:00 AM August 21, 2012 What causes a company to go astray?
Recently published reports on the slips and stumbles of two much-heralded companies provide a close look at some of the internal dynamics that can undermine optimal decision-making and effective execution — even within organizations that have a history of market-leading performance. In the August issue of Vanity Fair magazine, Kurt Eichenwald offers an in-depth chronicle of “Microsoft’s Lost Decade.”