Advances in Economics, Management and Political Sciences
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Proceedings of the 3rd International Conference on Business and Policy Studies
Series Vol. 68 , 05 January 2024
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Financial Analysis of Netflix with a Strategic Approach
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Abstract
In the ever-evolving landscape of the entertainment industry, Netflix has emerged as a dominant force, fundamentally reshaping how audiences consume content. This paper delves into the financial intricacies of Netflix, a global streaming giant that has become synonymous with on-demand entertainment. This paper’s objective is to conduct a comprehensive financial analysis, scrutinizing key performance metrics, and dissecting strategic choices that have promoted Netflix’s meteoric rise. Using financial ratios, cash flow analysis, and assessments of profitability and leverage, I investigate Netflix’s financial health and performance over the past five years, and the strategic maneuvers undertaken by the company, including content acquisition, international expansion, and original content production, to understand their implications on Netflix’s financial outcomes. This paper unveils a nuanced understanding of Netflix’s financial position, providing insights into the company's profitability, liquidity, and market impact. Beyond those, this analysis explores the strategic decisions underpinning Netflix’s financial success and their broader implications on the media and entertainment industry. Furthermore, this research has relevance for investors and analysts navigating the evolving landscape of digital content delivery.
Keywords
Netflix, Financial Analysis, ratio, COVID-19, strategy
References
1. Netflix. (2022). 10-K Forms. Retrieved from United States Securities and ExchangeCommission. https://s22.q4cdn.com/959853165/files/doc_financials/2022/ar/4e32b45c-a99e-4c7d-b988-4eef8377500c.pdf
2. Netflix. (2019). 10-K Forms. Retrieved from United States Securities and ExchangeCommssion. https://s22.q4cdn.com/959853165/files/doc_financials/2019/ar/2019-10-K.pdf
3. Netflix. (2020). 10-K Forms. Retrieved from United States Securities and Exchange Commission. https://s22.q4cdn.com/959853165/files/doc_financials/2020/ar/8f311d9b-787d-45db-a6ea-38335ede9d47.pdf
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Data Availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
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- Volume Title
- Proceedings of the 3rd International Conference on Business and Policy Studies
- ISBN (Print)
- 978-1-83558-267-1
- ISBN (Online)
- 978-1-83558-268-8
- Published Date
- 05 January 2024
- Series
- Advances in Economics, Management and Political Sciences
- ISSN (Print)
- 2754-1169
- ISSN (Online)
- 2754-1177
- DOI
- 10.54254/2754-1169/68/20241360
- Copyright
- 05 January 2024
- Open Access
- This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited