In 2000, when the Internet was in its infancy, Netflix approached Blockbuster executives for a US$50 million merger, but was not taken seriously. Blockbuster, then valued at US$4.8 billion, could not predict the technological disruption that Netflix would drive. By 2010, Netflix had grabbed a 20% share of North American viewership while Blockbuster was delisted from the New York Stock Exchange and filed for bankruptcy.
It was ironic. The Blockbuster leadership, which ran over 9,000 stores across North America, failed to foresee the impact of the Internet. Similarly, while technological adoption by enterprises is a continual process, the pandemic has accelerated this process. Consumers are shifting to online channels and businesses are getting ready to meet them there.