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Blockbuster:$1 Billion Hostile Takeover of Hollywood Video.

 
 
Neill Massello
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      12-29-2004
Stan Brown <> wrote:

> "One-Shot Scot" wrote in alt.video.dvd:
> >With this in mind, why does Blockbuster want to acquire even more
> >high-overhead walk-in stores by making a high-pressure power play to
> >acquire Hollywood Video?

>
> Because it will close one store or the other in every location where
> they compete, thus (it assumes) making its failing stores profitable.


Exactly. Consolidation is the typical response of industries that are
undergoing a contraction in their markets or profit margins.

 
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Justin
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      12-29-2004
Tarkus wrote on [Wed, 29 Dec 2004 11:10:20 -0800]:
> On 12/29/2004 10:42:36 AM, Justin wrote:
>
>> Tarkus wrote on [Wed, 29 Dec 2004 09:54:27 -0800]:
>>> On 12/29/2004 8:44:13 AM, Justin wrote:
>>>
>>>> Tarkus wrote on [Wed, 29 Dec 2004 08:45:18 -0800]:
>>>>> On 12/29/2004 8:11:21 AM, One-Shot Scot wrote:
>>>>>
>>>>>> With this in mind, why does Blockbuster want to acquire even more
>>>>>> high-overhead walk-in stores by making a high-pressure power play to
>>>>>> acquire Hollywood Video?
>>>>>
>>>>> Where's the Monopolies Commission?
>>>>
>>>> How would it be a monopoly?
>>>
>>> The same reason Pepsi (or was it Coke?) buying 7-Up was considered a
>>> monopoly. A monopoly doesn't mean there's no competition. It means
>>> one company has an unfair share of the market. See also Microsoft.
>>>
>>> Blockbuster is already nearly a monopoly in the B&M rental market.
>>> To acquire their only half-ass competitor would put them way over the
>>> top.

>>
>> Oh bull. Movie Gallery is all over the place.

>
> I've never heard of it. I guess not.
>
> I just searched on the internet. There is one store in my Las Vegas area
> (called "Video Update," oddly). By contrast, there are dozens of
> Blockbuster and Hollywood Video stores.
>


Well, there's 3 Movie Gallerys here and not a single Hollywood Video.
 
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Tarkus
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      12-29-2004
On 12/29/2004 11:40:39 AM, Justin wrote:

> Well, there's 3 Movie Gallerys here and not a single Hollywood Video.


Fair enough, but I'd be willing to bet that HV is far bigger nationwide.
And even if it's not, it's not relevant. The purpose of the Monopolies
Commission is to keep a single company from becoming too powerful by
securing an overwhelming share of the marketplace. Blockbuster buying HV
falls under that definition, regardless of whether or not HV is larger
than MG.
--
"The thing about a shark, it's got lifeless eyes, black eyes, like a
doll's eyes. When it comes at you it doesn't seem to be livin'... until
he bites you, and those black eyes roll over white."
 
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Larry
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      12-29-2004
In article <MMKdnQYFRYUnS0_cRVn->, says...
> Blockbuster has finally admitted that its walk-in stores are rapidly
> losing customers to online companies. Many educated DVD customers
> are going elsewhere to find low cost DVDs, low cost DVD rentals, a
> large, diversified selection and, most importantly, no late charges.
>


I know that for myself, if Blockbuster buys out Hollywood video, I'll no
longer be renting DvDs.

I'll simply buy them.

Blockbusters miserable business practices are what has kept them down, not
competition from netflix.

Here in my area there is exactly 1 choice for video rental, Blockbuster &
Hollywood video.

I havent been inside a Blockbuster store since HOLLYWOOD VIDEO opened its
doors with predominantly "WideScreen" versions of all the realeases it gets,
and a good selection of "catalog" titles as well as some Anime and foriegn
films.

I will not contribute ONE SINGLE PENNY to the coffers of Blockbuster, EVER!


--
Larry Lynch
Mystic, Ct.
 
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Tarkus
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      12-29-2004
On 12/29/2004 1:14:57 PM, Larry wrote:

> Here in my area there is exactly 1 choice for video rental, Blockbuster
> & Hollywood video.


Isn't that 2 choices (at least for now)?
--
"Zed's dead, baby. Zed's dead."
 
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Larry
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      12-29-2004
In article <1nqqlg6et4v7m$.>,
says...
> On 12/29/2004 1:14:57 PM, Larry wrote:
>
> > Here in my area there is exactly 1 choice for video rental, Blockbuster
> > & Hollywood video.

>
> Isn't that 2 choices (at least for now)?
>


No its only ONE choice, there is no reason whatsoever to consider my local
Blockbuster as a place to rent videos.

Still, to this day, if a release is offered in both 4:3 and OAR Blockbuster
will overwhelm the shelves with 4:3 and MAYBE 6 out of a hundred discs will
be OAR.

When asked about it the manager says "nobody much likes the black bars".

No NC17
No "Unrated"
Very poor selection of catalog titles

That kinda makes for only ONE choice.

It may well be that not all Blockbuster franchises are like the one local to
me, but it isnt really a place for someone who loves movies to go and rent a
title.


--
Larry Lynch
Mystic, Ct.
 
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luminos
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      12-29-2004

"Justin" <> wrote in message
news:...
> Tarkus wrote on [Wed, 29 Dec 2004 09:54:27 -0800]:
>> On 12/29/2004 8:44:13 AM, Justin wrote:
>>
>>> Tarkus wrote on [Wed, 29 Dec 2004 08:45:18 -0800]:
>>>> On 12/29/2004 8:11:21 AM, One-Shot Scot wrote:
>>>>
>>>>> With this in mind, why does Blockbuster want to acquire even more
>>>>> high-overhead walk-in stores by making a high-pressure power play to
>>>>> acquire Hollywood Video?
>>>>
>>>> Where's the Monopolies Commission?
>>>
>>> How would it be a monopoly?

>>
>> The same reason Pepsi (or was it Coke?) buying 7-Up was considered a
>> monopoly. A monopoly doesn't mean there's no competition. It means one
>> company has an unfair share of the market. See also Microsoft.
>>
>> Blockbuster is already nearly a monopoly in the B&M rental market. To
>> acquire their only half-ass competitor would put them way over the top.

>
> Oh bull. Movie Gallery is all over the place.


Never heard of it out west.


 
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Invid Fan
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Posts: n/a
 
      12-29-2004
In article <>, Justin
<> wrote:

> Tarkus wrote on [Wed, 29 Dec 2004 11:10:20 -0800]:
> > On 12/29/2004 10:42:36 AM, Justin wrote:
> >


> >> Oh bull. Movie Gallery is all over the place.

> >
> > I've never heard of it. I guess not.
> >
> > I just searched on the internet. There is one store in my Las Vegas area
> > (called "Video Update," oddly). By contrast, there are dozens of
> > Blockbuster and Hollywood Video stores.
> >

>
> Well, there's 3 Movie Gallerys here and not a single Hollywood Video.


They're probably a small chain that's expanding a bit. Locally the guy
who founded the first big Buffalo video chain (Video Factory) has
started up a new one called DotDVD. Under a half dozen stores at the
moment, and apart from that it's just BB and Hollywood Video.

--
Chris Mack "Refugee, total ****. That's how I've always seen us.
'Invid Fan' Not a help, you'll admit, to agreement between us."
-'Deal/No Deal', CHESS
 
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Justin
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      12-30-2004
luminos wrote on [Wed, 29 Dec 2004 14:22:45 -0800]:
>
> "Justin" <> wrote in message
> news:...
>> Tarkus wrote on [Wed, 29 Dec 2004 09:54:27 -0800]:
>>> On 12/29/2004 8:44:13 AM, Justin wrote:
>>>
>>>> Tarkus wrote on [Wed, 29 Dec 2004 08:45:18 -0800]:
>>>>> On 12/29/2004 8:11:21 AM, One-Shot Scot wrote:
>>>>>
>>>>>> With this in mind, why does Blockbuster want to acquire even more
>>>>>> high-overhead walk-in stores by making a high-pressure power play to
>>>>>> acquire Hollywood Video?
>>>>>
>>>>> Where's the Monopolies Commission?
>>>>
>>>> How would it be a monopoly?
>>>
>>> The same reason Pepsi (or was it Coke?) buying 7-Up was considered a
>>> monopoly. A monopoly doesn't mean there's no competition. It means one
>>> company has an unfair share of the market. See also Microsoft.
>>>
>>> Blockbuster is already nearly a monopoly in the B&M rental market. To
>>> acquire their only half-ass competitor would put them way over the top.

>>
>> Oh bull. Movie Gallery is all over the place.

>
> Never heard of it out west.


Define West.

I have seen Movie Gallery as far west as Western Montana.

Today Movie Gallery is the second largest video specialty retailer in
the United States with over 2000 stores, and is the proud employer of
over 16,000 associates. Given the quality of our associates and the
loyalty of our customers, the future is very bright for Movie Gallery.
Every day we get closer to making our mission statement a reality:

http://www.moviegallery.com/base.cgi...7fc688225f4f6d
 
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Justin
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Posts: n/a
 
      12-30-2004
Invid Fan wrote on [Wed, 29 Dec 2004 17:44:03 -0500]:
> In article <>, Justin
> <> wrote:
>
>> Tarkus wrote on [Wed, 29 Dec 2004 11:10:20 -0800]:
>> > On 12/29/2004 10:42:36 AM, Justin wrote:
>> >

>
>> >> Oh bull. Movie Gallery is all over the place.
>> >
>> > I've never heard of it. I guess not.
>> >
>> > I just searched on the internet. There is one store in my Las Vegas area
>> > (called "Video Update," oddly). By contrast, there are dozens of
>> > Blockbuster and Hollywood Video stores.
>> >

>>
>> Well, there's 3 Movie Gallerys here and not a single Hollywood Video.

>
> They're probably a small chain that's expanding a bit. Locally the guy
> who founded the first big Buffalo video chain (Video Factory) has
> started up a new one called DotDVD. Under a half dozen stores at the
> moment, and apart from that it's just BB and Hollywood Video.


They claim over 2000 stores. Just as many as HV claims.

BB claims 8500 stores worldwide, maybe 4500 in the US.
 
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