OK, it really depends on what your movie needs are - pay per view's nice, but usually they have a limited amount of films, also it means that you still have to pay a monthly fee for the cable \ satellite company on top of the price of each film. It's benefits is that you don't have to leave your house and can watch a movie on no notice at all - just click and watch. it's comfortable, but limited and expensive.
Video stores are good cause you don't have a monthly fee, meaning, if you don't feel like watching any movies you don't pay any money, some of them offer a big selection, some are smaller and have a small selection - the one I go to is small but they have a lot of foreign and cult movies which works well for me. The disadvantages are that the price per rental is usually higher, and that you have to go out of the apartment to to get a movie and, even worst - to return it, and the worst of all - late fee. Last month I forgot to return a DVD and ended up paying almost the amount of money it would have cost me to buy it.
Netflix is a good system, they have a really really big selection of films and it's easier then going to the video store - you get the movie in the mail, watch it, out it in an envelope and drop it in a mailbox. Also, the price is very good and you pay monthly, which means that if you watch fast, you can watch a lot of films for a really cheap price. What are the downsides of that - monthly fee means that if you go on vacation or just spend your time reading a really good book, you lost your money on it. Plus you need to be more organized with your film choices - ordering them in advance and having to wait a few days (or until you return the last DVD for them to send you the other one).
If you watch a lot of films and are not caprisic about your film choice I suggest Netflix. though it might be a good idea to still have a video store membership, just in case you really want to watch something specific right now.