Friday, December 19, 2008

Blockbuster Does It Again!

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?

1 comment:

  1. Anonymous1:45 PM

    I'll take it if no one wants it.

    ReplyDelete

Note: Only a member of this blog may post a comment.