It’s weird that new companies pop up instead of the ones that already existed and had a head start, and enough time to crush them while the new ones were young. Blockbuster had every advantage and yet just sat on the sidelines and let Netflix crush them.
A recent example of this is how Tiktok became popular despite the fact that Facebook and Instagram had way more institutional knowledge and resources.
So why does this happen? In this video I'm going to answer from the perspective of my business knowledge and thoughts about human nature.
A business is like a kingdom, it’s all organized so that a few people at the very top have all the power and decision making chances. In this video I go over what the Blockbuster executives lives were most likely like, and how parts of those lives distanced themselves from the reality of renting movies.
I think they were comfortable, not focused on innovation, let technology progress without thinking about what it meant for them, and my guess is that they hadn't rented a movie themselves in years.