Blockbuster and Netflix Take Their Competing Models Online

Blockbuster and Netflix have very different visions of how the residential movie distribution business works in the physical world. Netflix customers pay as little as $5 a month for as many DVDs as they want to watch, the different prices determining how many disks they get at a time. although it has a relatively small Netflix-like offering, Blockbuster relies primarily on rentals from its brick-and-mortar stores, where customers pay for each title they watch.

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