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Netflix, the One-Time "Dot-Com" Upstart Managed to Achieve Scale Economies

Question 44

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Netflix, the one-time "dot-com" upstart managed to achieve scale economies despite the fact that it faced two massive rivals: Blockbuster, a name synonymous with home video rental, and Walmart, not just a large firm, Fortune One, the largest firm in the US ranked by revenues. In what ways did Netflix offer size advantages over these rivals?

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Netflix's scale in DVD-by-mail is based ...

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