While China’s online video industry is poised to grow significantly in the coming days, market researchers are cautious of the competitive scenario given the government’s backing of local operators that continue to see rapid growth.
Further, despite high growth prospects, only dominant players can survive given the heavy capital investment and lower margin business model. While Internet content delivery business requires significant support of infrastructure and thrives on advertisement revenues, Netflix has thus far operated on a subscription model. So it may be some time before it actually makes an entry into an emerging market like China.
Also, as content volumes rise, the cost of expanding the network is also likely to remain a concern for companies entering the Chinese online video market.
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What a joke. Smoke Mirrors... I have been in 10 Macys stores from San Francisco to NYC to LA.
All are empty and store managers seemed concerned. I spoke with many people in the stores and said
traffic is down by 25-40%.. This is a classic Short Squeeze.. Today is the day to SELL SHORT see you at $41 and change.. What a classic spin.. Sales down dividend up $3 bucks in a day .. get real... What a scam