Letter

Netflix's third-quarter 2011 letter to shareholders

Reed Hastings · 2011

A rare example of a chief executive explaining in writing exactly what went wrong with a pricing decision, useful for anyone studying subscription economics or how companies communicate in a crisis.

• Leadership
• Growth and business models
• Decision-making

1 idea from this letter

• Post-mortemLeadership

  The mistake was how quickly we moved, not where: a chief executive locates the error

  In a post-mortem, separate the direction from the pace and the explanation, and say which one failed.

  Subscription pricing, crisis communication, and the behavioural question about a mistake you made.