Blockbuster Video

This case asks why Blockbuster has a competitive advantage in video retailing. The case details both Blockbusters' use of revenue sharing contracts with movie studios to coordinate the vertical chain and Blockbuster's "Go Home Happy" marketing campaign. The case challenges the student to understand how revenue sharing contracts, which are imitable and sometimes used by Blockbuster's competitors, can nevertheless be a key part of Blockbuster's advantage.