BLOCKBUSTER ACQUIRES MOVIELINK: A GROWTH STRATEGY

EPGDM Apr 2016: Questions for Discussion Class Presentation by

Students
Instructions to the Students: by Prof.Krishnakumar .V.Rao Dated 29th March, 2016
This is Case No.16, (Page starting 615), from the Text Book given to you: Strategic
Management: by Hitt, Ireland, Hoskisson and Manikutty
Please read the Case fully and come prepared with your suggested answers to the
Questions given under
If most of the students come un-prepared we may not proceed with Case Discussion
The participation by the students will be kept in view, when we evaluate the other
assignments, given to the students
Discussion Questions
1. Perform a PESTEL analysis to understand the general environment facing Blockbuster.
How will Blockbuster be affected by external factors?
2. Use Porters Five Forces Model to analyze the mail rental and video-on-demand
industries in the US. Given this analysis, are these industries attractive or unattractive?
3. What are the main capabilities of Blockbuster? Does Blockbuster have a core
competence?
4. What, in your opinion, is Blockbusters business-level strategy? Is the strategy
appropriate to offset the forces in the industries? How has Blockbuster attempted to
overcome obstacles posed by being a late player in a rapidly changing marketplace?
5. How can you summarise the key learnings of strategic issues as given in this Case
(about 5 Points)

BLOCKBUSTER | 1