Blockbuster was founded by David Cook, the first store opening in Dallas, Texas in 1985. Cook grew the company and brought it public. In 1987 a young businessman in Dallas, Scott Beck, approached John Melk, a prior executive at Waste Management, about purchasing a franchise of Blockbuster. Melk brought the idea to Wayne Huizenga. After an initial hesitation Huizenga agreed to purchase the company.
Melk and Huizenga used similar techniques to grow their successful Waste Management Company, and before long they were opening a new Blockbuster outlet every 24 hours around the United States. They also bought up every Blockbuster franchise that already existed, and removed all the pornographic offerings.
Today headquartered in Englewood, Colorado, Blockbuster is a provider of movie and video game rental services. Originally this service was provided exclusively through video rental stores, but later Blockbuster added by-mail DVD rental, streaming and video-on-demand services. At its height of success in 2009 Blockbuster employed at least 60,000 workers. Today there are about 1,000 Blockbuster outlets left in the United States and also in 17 countries around the world. In 2010, due to poor strategic planning and mismanagement and fierce completion form companies like Netflix, the company filed for bankruptcy protection. In 2011 Dish Network, a satellite TV provider purchased Blockbuster at auction for $233 million and the assumption of $87 million in debt and other liabilities and obligations.
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