Actividad de aprendizaje 1: Estructurar el plan de contingencia y los

recursos necesarios para su implementación de acuerdo con los riesgos

endógenos y exógenos y su impacto en el flujo de distribución

Discussing what went wrong

GIMAR STEVEN URIBE GONZALEZ

APRENDIZ

SERVICIO NACIONAL DE APRENDIZAJE - SENA

DISTRIBUCION FISICA INTERNACIONAL

2021-2022
 INTRODUCTION
The contingency plan not only has a practical function whose objective is
survival, but it also helps us contain anxiety and anguish, structure ourselves
and give us a certain degree of control over our lives.
Also, a contingency and business continuity plan is a set of resources and
procedures that allow the critical processes of the company to be maintained
and recovered in the shortest time and cost possible in the face of a given
contingency, whether of internal or external origin.
 CONTEXT AND NARACTION OF THE CASE

The failure of BLOCKBUSTER

The most common response when someone asks what the real reason for
the closure of Blockbuster was is practically unanimous: the overwhelming
success of Netflix. However, although the streaming company had a lot to do
with it, there are many other reasons that led to the end of the American
movie rental company.
According to an analysis by Retail Dive, which has been echoed by the Inc
portal, there are many more reasons, in addition to the technological factor,
that caused the closure of Blockbuster. Technology is part of the problem,
but it doesn't portray the whole story.
One of the main reasons was profitability. From 1996 to 2010 Blockbuster
was only profitable for two years and it is striking that between 2002 and
2006 it lost $ 4.4 billion.
Apparently, the main factor was the price of DVDs, which were much cheaper
than VHS, and it seemed better to buy them than rent them, since the price
difference was not very high.
Additionally, Blockbuster had deep debt to pay after Viacom bought it in
1994.
Although it is strange, another key point was the enormous growth that the
company had. Blockbuster's strategy was very simple: make as much money
as possible by running many chains at different points on the map.
It also had a lot to do with the entry of other companies in the market such
as Walmart, Target or Best Buy that could make DVDs very cheap, even if
they had losses, just to attract new customers.
All these points were those that put Blockbuster and Netflix against the
tightrope, a company that they were able to buy in 2000 for 50 million
dollars, it was simply the one that made the American chain lose its balance.
ASPECTS TO REFLECT
It is very likely that this company would have managed to save itself if they
innovated in the first place in CD's, which was the new technology in
expansion at that time, and later create a platform where they could upload
all the content that they already promoted on their DVD's.
But probably their biggest problem was the debt they faced from the
beginning.
Some reasons for failure are:
1. The lack of financial responsibility on the part of Blockbuster, since the
first action when it began to receive considerable income was to cancel
the debt in order to have capital for innovation.
2. Another important factor was that the company was not willing to
change equipment to keep its audience, CDs were the great innovation
a few decades ago and unleashed a new era of entertainment in
families.
3. The sum of the above factors determined that the company definitely
could not even reach the era of platforms where entertainment
content is uploaded daily for viewing. In short, there was no
innovation.