The Mass Media as a Business Enterprise PDF

The Mass Media As A Business Enterprise The Environment } Political System } Socio-Cultural Milieu } Various Interest Groups } Regulation } Congress } DOTC/NTC } KBP } MTRCB The Environment } Economic Conditions } Technology } Audience } Advertisers...

The Mass Media As A Business Enterprise The Environment } Political System } Socio-Cultural Milieu } Various Interest Groups } Regulation } Congress } DOTC/NTC } KBP } MTRCB The Environment } Economic Conditions } Technology } Audience } Advertisers } Media Producers Primary Activities } Production } Distribution } Exhibition } Finance } Government Regulation Industry Structure } Ownership and Control } Concentration } Vertical Integration/Conglomeration } Horizontal Integration/Convergence } Diversification } Internationalization } Trend: user-generated content Market Strategy: Monopoly } Books } The growth in media conglomeration and concentration in ownership present potential threats to the basic functioning of the market. } Lack of competition } Competition spurs innovation and keeps prices down } Competition offers choices The threat of monopolies } Monopolies threaten basic market dynamics } Lack of competition reduces incentives for companies to operate efficiently, potentially resulting in higher operating costs that are passed on to consumers. } Producers can also artificially inflate prices and otherwise distort the market because there are no competitors challenging them. The threat of monopolies } Producers have no incentive to invest in research and development or to try risky new ideas because there are no competitors threatening to undercut sales via innovative products. } Monopolistic power in a key industry may be translated into political power. Characteristics of Monopolies } The case of Microsoft } Has a very large and stable share of market for a given product } A high barrier to entry for competitors } Customers do not have a viable alternative to the monopoly’s product Cases } Newspaper } Cable } TV } Radio } Internet Lords of the Press by Sheila S. Coronel } Newspaper proprietors intervene in editorial decision- making to protect their business interests. } Manila Standard } Manila Times } Philippine Daily Inquirer } Manila Bulletin } The Philippine Star } Malaya } Chronicle } Herald Discussion } Responsibility of the Press: VERIFY DATA } Threat: CONFLICT OF INTEREST } Limitation: LIBEL, censorship, sedition } Ethics: PAYOLA } Excesses: SENSATIONALISM In the end... } Newspapers are } Mouthpieces of their owners } Influence vs. Profit } Legitimacy and Political Clout ¨PUBLIC VIGILANCE POLITICAL ECONOMY } Identifies and explores the power relations that intervene in the production, distribution and consumption of media and cultural products. } Assumes that the media system is an important factor in how societies function. } Believes that media are a central part of the capitalist political economy, the center of the marketing system, and a source of tremendous profit in their own right.