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(Yahoo) Dumbass The dumbest moments in business 2011   (finance.yahoo.com) divider line 20
More: Dumbass, CEO Reed Hastings, Governor of New Jersey, European debt crisis, Jeanne Sahadi, Jon Corzine, MF Global, moments  
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3609 clicks; posted to Business » on 21 Dec 2011 at 8:42 AM   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»   |    Get this fabulous T-Shirt and impress the methane out of your friends! shirt it!



20 Comments   (+0 »)
   
 
2011-12-21 08:49:56 AM
No mention of Sony's hacking problems? That was a pretty special fail there.
 
2011-12-21 08:55:14 AM
No mention of HP's Touchpad fire sale, sparked by a CEO who sabotaged his own company with purposely unrealistic sales goals in an grander scheme to rid HP of it's hardware business?
 
2011-12-21 09:01:16 AM
Your customers love you and your stock is flying high. What do you do? If you're Netflix in 2011, you tick off subscribers with a 60% price hike and the launch of a new business called Qwikster.

Alternate headline: Your content providers raise their prices over 100%. What do you do? If you're Netflix in 2011, you don't raise your prices and plunge into the red.
 
2011-12-21 09:11:07 AM
Bank of America debit card fees?
 
2011-12-21 09:13:48 AM
Rapmaster2000: Your customers love you and your stock is flying high. What do you do? If you're Netflix in 2011, you tick off subscribers with a 60% price hike and the launch of a new business called Qwikster.

Alternate headline: Your content providers raise their prices over 100%. What do you do? If you're Netflix in 2011, you don't raise your prices and plunge into the red.


Want to get out of the business (quickly) of shipping DVDs which is quickly costing you a lot of money?

/is how I saw it
//still subscribe to streaming
 
2011-12-21 09:27:51 AM
Of all of those, only the Netflix issue was something actually impacted the lives of the 99%. The rest were just random factoids on a news crawl for most people. Way to stay in touch with the people, Yahoo.
 
2011-12-21 09:32:40 AM
How about a little love for Olympus' management and its ability to hide $50M per year in losses -- for 30+ years. Link (new window)
 
2011-12-21 09:48:37 AM
Lost Thought 00: Of all of those, only the Netflix issue was something actually impacted the lives of the 99%. The rest were just random factoids on a news crawl for most people. Way to stay in touch with the people, Yahoo.

FTA: "For some on Wall Street, Corzine is the Grinch who stole Christmas. Thousands of investors lost their money and more than 1,000 employees were laid off after the brokerage house went bust in October."

I'm sure all 1,000 were in the 1% though...
 
2011-12-21 10:20:43 AM
Was the AT&T/Tmobile merger too recent to make the list?
 
2011-12-21 10:43:17 AM
Rapmaster2000: Your customers love you and your stock is flying high. What do you do? If you're Netflix in 2011, you tick off subscribers with a 60% price hike and the launch of a new business called Qwikster.

Alternate headline: Your content providers raise their prices over 100%. What do you do? If you're Netflix in 2011, you don't raise your prices and plunge into the red.


Netflix was a PR failure, pure and simple. Reed Hastings came across as arrogant and adversarial, and he has done little to tone down that impression. I suppose he thought that people would just take the price hit without complaining... 1 million subscribers would seem to disagree.

I can understand why Netflix raised its prices. Their hands were tied. Why I don't understand is why they didn't spend a little money on a team of spin doctors and a professional spokesperson (a blond with big tits would have been a good choice). Hastings is not good at dealing with people and it shows.

/2c
 
2011-12-21 12:02:43 PM
Rapmaster2000: Alternate headline: Your content providers raise their prices over 100%. What do you do? If you're Netflix in 2011, you don't raise your prices and plunge into the red.

There's a difference between "Unfortunately, we have to raise prices for our users, because the content providers have drastically increased the cost of obtaining and streaming the movies and TV shows that we offer", and "We're hiking prices through the roof. Stop complaining, you'll get over it and like it." People will grumble, but generally accept, the former; they will openly revolt with the latter.
 
2011-12-21 01:09:45 PM
hamdingers: Lost Thought 00: Of all of those, only the Netflix issue was something actually impacted the lives of the 99%. The rest were just random factoids on a news crawl for most people. Way to stay in touch with the people, Yahoo.

FTA: "For some on Wall Street, Corzine is the Grinch who stole Christmas. Thousands of investors lost their money and more than 1,000 employees were laid off after the brokerage house went bust in October."

I'm sure all 1,000 were in the 1% though...


You know how I know you don't know what the 1% is?

// if this was your attempt at trolling, please disregard my snarky comment
 
2011-12-21 02:41:49 PM
Joe_diGriz: Stop complaining, you'll get over it and like it."

It's known around here as "The Jeff."
 
2011-12-21 02:45:50 PM
Joe_diGriz: Rapmaster2000: Alternate headline: Your content providers raise their prices over 100%. What do you do? If you're Netflix in 2011, you don't raise your prices and plunge into the red.

There's a difference between "Unfortunately, we have to raise prices for our users, because the content providers have drastically increased the cost of obtaining and streaming the movies and TV shows that we offer", and "We're hiking prices through the roof. Stop complaining, you'll get over it and like it." People will grumble, but generally accept, the former; they will openly revolt with the latter.


THIS.

The issue with Netflix is more of a PR and one of policy compared to them trying to soak the customer. I was pretty peeved that most media outlets couldn't figure it out for themselves and point the finger at the correct offenders (who were, in fact, trying to soak the customer).

Some of the items which other posters mentioned (Sony, for example) make the list for me much easier than this one does.
 
2011-12-21 04:02:47 PM
LA Dodgers going bk?
 
2011-12-21 04:12:44 PM
Rapmaster2000: Your customers love you and your stock is flying high. What do you do? If you're Netflix in 2011, you tick off subscribers with a 60% price hike and the launch of a new business called Qwikster.

Alternate headline: Your content providers raise their prices over 100%. What do you do? If you're Netflix in 2011, you don't raise your prices and plunge into the red.


As others have said Netflix was a PR failure pure and simple. If they had said something like "Due to content providers jacking up their prices 100%, we have to raise our subscription fees and we are splitting the mailing service from the streaming service," people would have grumbled, but the only people cancelling their subscriptions would have done it at the slightest price increase anyway.

Instead, they tried to pass off the price increase as price cut, which angered everyone. We all knew why they had to raise prices, but fark them for calling it a discount. They then fumbled the release of Quikster and made it clunky to use both services, further upsetting their already angry customers.

They should have unveiled the price increase and Quikster at the same time and they should have made it easy to add videos to either a Quikster cue, Netflix cue, or both.They royally farked up what would have been a minor business blip.
 
2011-12-21 05:16:38 PM
bustemup: hamdingers: Lost Thought 00: Of all of those, only the Netflix issue was something actually impacted the lives of the 99%. The rest were just random factoids on a news crawl for most people. Way to stay in touch with the people, Yahoo.

FTA: "For some on Wall Street, Corzine is the Grinch who stole Christmas. Thousands of investors lost their money and more than 1,000 employees were laid off after the brokerage house went bust in October."

I'm sure all 1,000 were in the 1% though...

You know how I know you don't know what the 1% is?

// if this was your attempt at trolling, please disregard my snarky comment


Because most companies of 1,000 don't employ receptionists or janitors or office staff. Everyone who works for a wall street firm is pulling in 7 figures+.

/rolls eyes
 
2011-12-21 05:57:54 PM
oren0: bustemup: hamdingers: Lost Thought 00: Of all of those, only the Netflix issue was something actually impacted the lives of the 99%. The rest were just random factoids on a news crawl for most people. Way to stay in touch with the people, Yahoo.

FTA: "For some on Wall Street, Corzine is the Grinch who stole Christmas. Thousands of investors lost their money and more than 1,000 employees were laid off after the brokerage house went bust in October."

I'm sure all 1,000 were in the 1% though...

You know how I know you don't know what the 1% is?

// if this was your attempt at trolling, please disregard my snarky comment

Because most companies of 1,000 don't employ receptionists or janitors or office staff. Everyone who works for a wall street firm is pulling in 7 figures+.

/rolls eyes


This was my point.
 
2011-12-22 03:16:20 AM
how about Mythbusters shooting cannonballs at jewish households?
 
2011-12-23 08:22:41 PM
So we're missing Sony's hacked accounts, BOA's account fees, and HP's complete lack of corporate competence (worth 2 or 3 spots on the list all by themselves). At least they got the Netflix issue on there.
 
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