One of the most popular platforms to watch movies and series, Netflix has significant attention to business ethics and responsibilities. This article will explain how Netflix encourages and supports ethical and responsible business standards. According to the You matter media website, Netflix ranked 9th with the best CSR report. In this Blog post by Zoomio editorial team, you will read about the most interesting ethical factors in the Netflix company.
Netflix’s early days & today’s accomplishments
Netflix was initially founded in 1997 by Marc Randolph and Reed Hastings. These two tech entrepreneurs used their own experiences in the technology industry to build Netflix, a famous online and offline platform to watch movies and series. On April 14th, 1998, Netflix started as an online DVD rental and Delivery Company with only 925 titles. Initially, Netflix used a pay-per-rental operation with no due dates and small late fees. Nevertheless, Netflix launched the subscription model they have become known for in the fall of 1999.
Today, Netflix is performing on different operational systems, such as iOS and Android. In addition, users can have access anywhere anytime through the Netflix website to over 15,000 titles.
Netflix had nearly 213.6 million paid subscribers worldwide as of the third quarter of 2021. Most Netflix subscribers are from the United States and Canada, with the U.S. and Canada accounting for over 74 million of Netflix’s total subscribers.
Netflix & partners
Netflix has a complex but beneficial business partnership with other similar and different companies. According to Partnerbase, a service that builds the world’s greatest database of partnerships between companies, Netflix has approximately 130 partners. the largest partners are Megaport, Roku, and Deutsche Telkom.
Netflix needs to establish a reliable and profitable partnership with companies and businesses to gain more subscribers.
The Secret; Netflix Code of Ethics
The largest companies in different industries have their Code of ethics. These codes and regulations determine how a business, internally or externally, should operate its strategy to be more successful in business. The Netflix board of directors has created a Code of Ethics for its directors, officers and other employees. These codes determine the relation cores between employees and managers. Netflix Code of Ethics bestows a clear path to understanding ethics in different situations.
How does Netflix support Corporate Social Responsibility?
Netflix is always trying to establish a healthy and positive relationship between its employees and partners. For instance, in 2004, Netflix introduced “Unlimited Vacation.” It means employees can take as much vacation time as they desire if they confirm it with their managers and complete all required tasks before deadlines. Another example of Netflix’s corporate social responsibility is its connection with communities all around the world. For example, Netflix CEO, Reed Hastings, donated $120 million to historically Black institutions.
When we are talking about ethics, we must mention environmental risks as well. Netflix is not a manufacturer, But it is prominent that Netflix servers and business streams can affect the earth’s environment. Netflix uses insights and analysis from more than 60 experts and organizations to analyze better decisions to reduce negative environmental impacts.
These insights are from organizations like WWF, University of Bristol, Global Optimism, United Nations Framework Convention on Climate Change, Potsdam Institute for Climate Impact Research and Natural Resources Defense Council. Also, Netflix has ascertained an independent Advisory Group of Experts to guide the company on the most competent path to sustainability.
Netflix has exceptional attention to its diversity between employees and managers. We can determine how Netflix diversity works according to the Netflix diversity and workforce demographics for Q4 2021 report. Here we have extracted some critical information from the 2021 report sheet. These numbers are determined how Netflix creates diversity by nationality:
- American Indian or Alaska Native: 0.3%
- Native Hawaiian or Other Pacific Islander: 0.6%
- Middle Eastern or North African: 1.1%
- Two or More Races: 5.5%
- Black or African American: 10.4%
- Hispanic or Latinx: 8.5%
- Asian: 23.8
- White: 42.9
- Women: 47.9
- Men: 43.8
- Not Disclosed: 7%
- Additional Gender Identities: 1.3%
Conclusion
These days, companies’ ethical decisions and strategies are essential in attracting more clients and customers. For example, we understood how Netflix established a perfect code of ethics and created different programmes to support employees. Moreover, Netflix is trying to achieve better diversity rates between employees. Therefore, a more positive and better CSR report means more happy employees and more happy customers.
