evaluate the pros and cons of Redbox’s strategy, do a SWOT analysis, identify the strategic issues that Redbox management needs to address, and propose action recommendations.
To prepare you for this CLA, read the Redbox Case on page 277-284 in Chapter 5. Then, review the following:
- A 2:18 minute YouTube video that discusses how Redbox is gaining on Netflix and Redbox’s competitive advantage. The video, with a date of May 29, 2010, can be accessed at http://www.youtube.com/watch?v=EdOtUKsEbH0.
- A 3:40 minute YouTube video, with a date of September 3, 2010, can be accessed at http://www.youtube.com/watch?v=LvNplvEAumo&feature=
Your assignment: Redbox has employed you as a consultant to assess the company’s overall situation, identify the strategic issues that management needs to address, and recommend a set of actions to improve the company’s future prospects. Please prepare a 4-6 page report to Redbox management that includes (1) a complete SWOT analysis (as described in Chapter 4), (2) a complete list of the strategic issues/problems that management needs to address, and (8) a set of action recommendations to resolve the issues problems that you identify. Your report should contain detailed and convincing reasons in support of each one of your recommendations. It is imperative that the support offered for each of your recommendation be based on analysis-based conclusions.
After you have completed the assignment above, answer the following three questions as part of your report:
1. What does a SWOT analysis reveal about the attractiveness of Redbox’s situation and future prospects?
2. What strategic issues and problems does Redbox management need to address for the company to be more financially and competitively successful in the years ahead?
3. What actions do you recommend that Redbox management take to deal with each of these issues/problems? Your recommended actions must be supported with convincing, analysis-based arguments.