Netflix Inc. is apprehensive about its success potential in the Chinese market.

China is one of the very few countries where Netflix is not operational.

Netflix CEO Reed Hastings said the company's probability of entering the Chinese market "doesn't look good."

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Following such comments, the company's stock reporteldy experenced a plunge in Friday's stock exchange trading session.

China, with its massive population and growing economy, offers an irresistible opportunity for the media company. However, the government's control over media as well as internet service may hamper the company's growth.

Hastings, while speaking at the New Yorker TechFest, said Netflix is currently focusing on the rest of the world, while citing Disney and Apple as examples. He noted that both companies had their services shut down in the country. 

Netflix is currently facing stagnation in its domestic business in the United States. The company is looking to make up for this by expanding overseas.

Earlier this year, Netflix announced its expansion in 130 new markets around the world. The company official pointed out, though, that it has not made much progress in China as the company needs to obtain a government license to start operating in the market.

The video streaming company is also looking to diversify its product portfolio to stop its business from stalling. Netflix is now giving emphasis on exclusive programs and rights for first-run movies. In fact, it recently inked a deal with iPic Theaters. Under this deal, the theater chain, which owns 113 screens, will show some of the original movies created for Netflix. 

Tagsnetflix, iPic, video streaming