A couple weeks ago I wrote a piece elsewhere about how Blockbuster mismanaged itself into a death spiral. Today comes the not-astonishing news that, surveying the wreckage of its business model, Blockbuster has decided to raise the price of rentals instead of chasing digital downloads.
Remember, this is a company that was worth $8.4 billion dollars in 1994 (which is just about $12 billion in 2008 dollars) and now has a total market capitalization of $227 million.
Go ahead and read that again.
Is it any wonder this company is dying?
17 hours ago