Hulu Case

1. What competitive forces have challenged the television industry? What problems have these forces created?

Widespread use of high-speed Internet access, powerful PCs with high-resolution display screens, iPhones, iPads, other mobile handhelds, and leading-edge file-sharing services have made downloading of video content from movies and television shows faster and easier than ever. In addition, people can even have more choices to watch different kinds of television shows. As a result, there are more and more people start to watch movies and television online instead of watching these through the television. This is a big problem for television industry because they are losing their customers.

Original form of TV entertainment

Analog TV

Cable

Movie theatres

Rental

Satellite TV

TV's Competitive forces

Internet

IPhones

YouTube

Netflix

Hulu

Crackle

2. Described the impact of disruptive technology on the companies discussed in the case?

Disruptive Technology

High pricing for subscriptions

Most videos sites on internet are free

High speed internet increases quality of online streaming

Unauthorized distribution of films and shows

Control over when you watch TV

No commercials

I think the impact of disruptive technology on the companies in this case will be getting bigger and bigger. In the future, there will be definitely more and more choose to watch movies and television shows on the Internet because the rate of technology to renew and innovate is so fast that we could note even imagine. For instance, the cloud computing service and cloud sharing platform will enable much more people to upload and download movies and television shows through it in the future. So, we think the television industry should try to come up with a new business strategy about hot to integrate the traditional television industry with the innovative way that people choose to watch movies and television show.

3. How have the cable programming and delivery companies responded to the Internet?

Show television broadcast such as NBC Universal, Fox, and CNN have put their television show on their own website to keep people still watching the shows.

On the other hand, some other companies are