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Ans to the Q:NO:1

Conducting Porter’s five forces analysis based on SVOD industry shown in the case study;

‘Bargaining power of buyers’: (High) India's vast population provides a sizable marketplace for
its material. Nevertheless, the company's contents must be tailored to the buyers' desires
(Segments by area and 'cultural dynamics'). As we studied in case study how pricing shifts in this
industry like ‘Netflix’ charges $7.50 to $12, ‘Eros Now’ charge around $1.47, ‘HOOQ’ charges
$2.99 which shows that bargaining power in ‘Svod’ industry are high as the consumer has many
price option from chose to. Also because of the development of internet accessibility in ‘India’
buyers are most likely to get information easily. Sometimes users share their accounts password
with their friends or download content from piracy sites, which is a big threat because the real
owner of the content doesn’t make any profit from that. However, there is no such policy in India
which prevent this things to happened which may increase the bargaining power of buyers in
‘Svod’ industry.

 Because consumers are price sensitive, the sheer volume of consumers keeps the
capability of a single buyer to influence pricing minimal.
 The reaction to the price increase is notable.

‘Bargaining power of suppliers’: (High) ‘SVOD’ has managed to provide its video material to
the majority of its users online due to the continuously growing internet and connection speeds.
Internet providers consequently lack negotiating leverage, as broadband speeds internet access,
and online subscription services are plentiful in India, just as they are in the 'United States, Latin
America, and the United Kingdom'. Also foreign brands need to invest more to host or buy
access of local content. Suppliers hold the bulk of material, and this industry is largely reliant on
them because of enormous amounts of ‘high-quality’ content, affecting the ‘business model's’
long-term survival.

 Production firms have considerable influence. The cost of producing a film is quite
expensive, as is the time commitment. Early success was required to maintain interest in
films.

‘Threat of new entrants’: (Moderate) In India, ‘the threat of new entrants’ into the
entertainment sector is a powerful factor. Due to the sector's huge market, newer and even
established businesses can participate. Therefore study and understand industry dynamics in
order to capitalize on the huge market opportunity. Whether there's a significant threat of new
entrants, established competitors will be ready to accept lower earnings in order to mitigate the
dangers. Because there is now more ways to enter this industry which can be a threat to the
existing brand like ‘Hotstars’, ‘Netflix’, ‘Eros Now’ etc. By introducing new ways of doing
things like adopting low price strategy, cutting down to cost, offering customers with a unique
value propositions. Because of such barriers like ‘Brand loyalty’, ‘Cost advantage’, ‘Economic
scale’ and ‘Government policies’ are not that costly to adopt, that’s create the danger of future
rivals entering is much higher which is not great for other existing brand in the industry because
they can’t raise subscription price which result in no higher revenue. Also the internet and
broadband speed in India is not that good, because of that Indian users are not getting the greater
experience also their telecom service doesn’t provide viable internet packs. Which may be a
great concern for the industry if new entrants able to fix this issues.

 It's difficult to break into this business without brand recognition and technologies.
Now at time, several famous firms (such as Apple and Google) entered the internet
streaming space.

‘Threat of substitutes’: (High) Video programming offered from ‘SVOD’ in India, May not
always meet user expectations. Therefore, those brands should develop their design to help them
more pleasant to clients, or else rivalry's alternatives would remain to control the marketplace.
As we discussed, in the case study, the price offer from substitutes like ‘Dish TV’, ‘Tata Sky’
etc. are much more less than the existing brand of online streaming. Because of the price
attractiveness created by the substitutes and their huge volume of TV channels, quality of content
and cheaper price might get the satisfaction from the customers. Other source of entertainments
may also act like substitutes.

 Anything that may provide amusement qualifies also as substitute ‘(e.g. games, books,
going to theatre etc.).’

‘Competitive rivalry’: (High) other companies in India that provide video recording services
pose a serious threat to ‘Svod’ industry. ‘SVOD’ industry is in ‘nascent stage’ meaning that the
industry is now in the growing or developing stage. However, as a new entrant to the
marketplace, All brands must educate and know the marketplace in order to present their
contents in such a manner that is acceptable to users; anything else, the industry would lose
market shares among Indian clients. Another thing that concerns this industry is how local
players manage to understand Indian culture and know the users preferences deeply which help
them make good catalog of regional content for local users. Nevertheless, platform like ‘Netflix’
or ‘Amazon prime’ which is foreign player, it is much harder for them to understand this local
customer and their taste of entertainment. This creates a big competitive rivalry among the Local
and outside player.

 ‘Blockbuster's’ existent competitors in video renting.


 ‘Applier iTunes, Amazon Video on Demand, Hulu, Google TV,’ and ‘YouTube’ are all
new subscription competitors. Numerous cable providers have also started to promote
Video on Demand.

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