Companies come, companies go: Blockbuster edition

Blockbuster has been on the economic edge for a while now and is apparently close to filing for bankruptcy.

Perhaps Blockbuster is a microcosm of the economic situation in America over the last 25 years: it quickly grew in size to fill a market niche, expanded to what too turned out to be too many locations, and then eventually has reached a point where it needs to seriously regroup due to technological change and some other reasons. I remember seeing them sprout in the Chicago area. Within a few years, we went from no nearby stores to numerous locations within 5 miles (and even more of its type if we were to count businesses like Hollywood Video). They were everywhere, including suburban downtown locations and strip malls.

I would be interested in reading a sociological study about how this company expanded but then had trouble adapting to the changing market for movies and video games. How did they successfully find customers early on and then lose those customers later on? How did Blockbuster’s growth accompany general suburban growth, housing patterns, and growth of other important retailers?