TV ownership

Tv. film, radio, magazines, newspapers, video games, advertising & marketing.

Identify: a mark per point.

Explain: (2 marks)

Analyse: 12-17 marks

Discuss statement/ case study: 12-20 marks

Examples will be awarded with marks, marks on media products as well.

Why do we pay a tv licence?: current fee: £169.50 or £57 for black and white.

BBC - public service broadcasting channel (no ads)- doesn't advertise any products/ brands.

ITV- commercial (ads)

PSB= For the public- no ads- informs rather than takes sides.

PSB Rules: 

multi- cultural, all accepting and inclusive. 

Must inform.

Must be distinctive. 

Reflective of UK.

Remit--> promise of a program. which is different for each industry. BBC= Inform, educate & entertain.

75% of the BBC'S funding comes from the TV licence. They also sell other media such as: Radio times, good food, BBC radio etc which they sell worldwide.

Remit of ITV: Launched in 1955, it's the oldest commercial network in the uk. BBC Was established in 1932.The difference between a public service company and a commercial company: PSB for example BBC, is paid for by the public on a tv licence costing £169.50, however they don't generate money. whereas commercial companies such as the iTV are free but are funded by the advertising they do for other companies that pay them which gives them profit and generates money. The ultimate difference is that PSB can't advertise anything but commercial companies do. 3/4 marks.Vertical integration: A media company having full control of every process. (PRE- PROD-POST) Distribution and exchange is also controlled by them. E.G Disney.

PROS- Full control and overseeing all stages could lead to success. You have personnel to hand instead of needing to hire out, you can also trust that the people are good and up to your standards. Reputation could go up since if you are successful, you own it all- you don't owe other people.

CONS- Since they have full control, they could come to a creative blockage or the team might not be to the highest standard. High production costs, if you fail- you loose a-lot of money.

Horizontal integration: Has subsidiary companies that they have bought used to support the marketing of their products. E.G BBC.

PROS- They have more chance in creating something more unique. Employees could be untrustworthy since you don't know them. Scapegoat incase anything goes wrong. Able to mass recognition/ market. Give a smaller company the opportunity to work with a bigger company.

CONS- Main company has loss of control over how it is created. Could have disagreements with the company you're working with.

Structure of the BBC:

The BBC is a cross- media organisation- one of the largest in Europe.

This means it is vertically and horizontally integrated.

BBC earth:

Documentaries

Podcasts

Premium factual programming

Operated by BBC Studios

Youtube channel

Website

BBC earth experience

BBC earth kids

Synergy: when a company doesn't own another one but they use each-other to promote.

E.G: LEGO MOVIE

When a company/ producer makes a connection/ works with another company/ producer or a different part of the same company to make a product that benefits all involved. Companies that are both vertically and horizontally integrated can create synergy across their output. 

Can be more than two companies to create synergy.

Online and social media services

Print media and print advertising

Distribution

TV channels

Merchandising

TWO COMPANIES CROSS-PROMOTING BY USING EACH-OTHER

A film company could have a synergetic relationship with a food brand such as McDonalds- happy meal toys etc.

Vertical integration examples: BBC (earth, breakfast, news etc)

Synergy: BBC teaming up with teemil to create a eco-friendly recycled clothing/ shop brand.

Synergy: John lewis teaming up to create eco-friendly produce with BBC earth

Vertical: Range of merchandise via their website.

Explain one way the horizontal integration can contribute to the process of synergy. (3 marks)

(How one company can use its offset companies to synergies with another company).

The horizontal integration of BBC can use its subsidiary company "BBC earth" to synergise with other companies like a successful shop such as John Lewis to create a product which gains both companies recognition and profit. BBC earths viewers will become attracted to John Lewis while customers of that shop will gain exposure to the BBC through the combined merchandise being sold.

      3/3  PEER ASSESED BY: MRS BERGBAUM
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