This thesis conducts a competitive analysis of Netflix by applying the theories of Michael Porter’s value chain and Hwy-Chang Moon’s ABCD model. In order to show relative strategic positioning and industry challenges, an industry analysis of the film and television industry by applying the five forces model with Walt Disney Company, Amazon and Facebook examined as relevant competitors. These are used to highlight key challenges and trends in the SVOD segment and wider entertainment industry, and how this affects the competitive advantages of Netflix. As such, the thesis aims to understand the industry developments and sources of competitive advantage in shifting industries through the application of theories.