Netflix is not suffering from competition. Amazon is getting lots of the same movies as part of Prime, but they don't have everything that Netflix does. To pick one example, 'Breaking Bad' isn't on Prime; you have to pay 3 bucks per episode on Amazon. The cost of 3 episodes on Amazon exceeds the Netflix monthly subscription price. That's not even considering that the same 8 bucks is also getting you thousands of other movies and TV epsiodes to watch too. Amazon is putting heat on Netflix, but Netflix is suffering because they are being starved to death by the license holders.
“The greatness of a nation and its moral progress can be judged by the way its animals are treated.” - Mahatma Gandhi