Will Online Streaming Work Out for Netflix?

Once defined by the red envelopes used to deliver DVDs for its mail order service Netflix has turned its focus toward allowing subscribers to stream movies and other programming directly to their computers and television sets. The move has reaped rewards including an increasing customer base but created friction with the entertainment and technology companies Netflix competes with -- and in many cases relies on for gaining access to content. Wharton marketing professors Peter Fader and Raghuram Iyengar and operations and information management professor Kartik Hosanagar recently spoke with Knowledge at Wharton about what the future may hold for Netflix.