Case
Teaching Notes
Abstract
Amazon’s May acquisition of film studio MGM caused a stir in the industry, with some experts expressing concern over what the acquisition means for the availability of and accessibility to MGM’s enormous archive, and others praising Amazon for a strategy that gives the company a significant leg up in the battle between streaming competitors like Netflix, Hulu, and Disney+. The acquisition is the latest in a series of mergers that have consolidated the entertainment industry down to just a handful of companies, potentially leaving them vulnerable to the same kind of antitrust regulations that broke up the studio system that dominated the industry during Hollywood’s first century. This case covers the acquisition and asks students to discuss the risks and strengths of Amazon’s strategy and what it bodes for the industry in general.
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