while i've questioned the business model of netflix, my personal experience was pretty good...
[durina a 4 month trial period, i rented a whopping 76 dvds. my biggest complaint was the rather high number of discs with scratches, but that's a problem with any dvd rental outfit]
i've got the feeling that netflix serves a niche market in the long-term. while the growth figures through saturation in that niche may make short-term investor-traders happy, long-terms must be wary. i'm always worried about 'holding the bag'--the moment when the market realizes/judges growth prospects curtailing and slamming the stock.
a sub-niche of the niche market netflix address is the heavy-renting superuser. in an effort to mantain profitability, netflix scales back deliveries to heavy users--a practice critics dub 'throttling'--since "each DVD sent out and returned costs 78 cents in postage alone."
the backlash associated with this practice--which netflix all but admits--also serves as a major problem
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