In: Business and Management

Submitted By Tinku14
Words 481
Pages 2
Question 1:
Does Tivo benefit the networks, advertisers and cable companies? How might Tivo hurt the three entities? (one page)

TiVo is a digital entertainment system which aims to provide users flexibility in usage of TV by providing them with innovations which aim to do away with the multiple difficulties users face in viewing TV such as inconvenient timings, disturbances and distractions while watching TV. Based on how the company positions TiVo it could benefit or hurt the network, advertisers and cable companies.
TiVo as an Opportunity:
For the networks TiVo could complement their business rather than compete against or jeopardizing it by serving as a system on which they can leverage to conduct more targeted advertising and be able to market advertising slots more effectively, TiVo could also act as an avenue through which they can monitor the viewer rates of their programs and therefore put more strategic plans in place to increase market share and gain competitive advantage. For example features like “seasons pass” and the “thumbs up” features of TiVo could provide network additional chances to match their shows with the most interested audiences and increase loyalty.
For the advertisers TiVo could be a device which could help them conduct more personalized and targeted advertising. The fact that the programming can be targeted at users also means that the ads can also be targeted based on user preferences. Thus TiVo could help evolve television towards a more customer-focused medium with a significantly improved value proposition. Last but not least the advertisers could save money by using TiVo’s as they do not have to spend too much money on prime time slots for their content to reach wider audience
For the Cable / Satellite Companies TiVo could benefit them by being able to complement their services and assist them to gain greater market share…...

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