Redbox vs. Netflix’s Red Envelopes

Netflix is one of the few companies today that continues to enjoy success despite the tough economy. However, there’s another rental company run by one of Netflix’s former lieutenants that’s giving the company some good competition: Redbox.Redbox began as an experiment at McDonald’s restaurants. The group running Redbox grew from 12 machines to about 900 in three years. By the middle of 2005, the company was itching to expand beyond McDonalds. McDonalds then agreed to let Redbox seek another partner. In 2005

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