Industries - Ownership + Control

Media conglomerate research

1) Type up your research notes from the lesson - what did you find out about your allocated media conglomerate? Selection of companies: Alphabet, The Walt Disney Company, National Amusements, Meta, News Corp, Time Warner, Comcast. If you were absent or didn't have time in the lesson to make these notes, research any one of the companies above and find examples of all the terminology outlined in the notes at the start of this blogpost.

2) Do you agree that governments should prevent media conglomerates from becoming too dominant? Write an argument that looks at both sides of this debate.

On one hand, yes. Media conglomerates should be stopped from becoming too powerful, as the lack of competition would make things unfair for the market. Government intervention would probably be the best in order to prevent a monopoly. On the other hand, this would directly conflict with the idea of a "free market". The idea that companies and/or individuals decide what they want to do without government intervention. If governments were to intervene and stop conglomerates from becoming monopolies, that would directly conflict with the ideologies and beliefs that one would come to expect from a free market. Considering both sides, ultimately I'd say I'd have to agree that governments should prevent media conglomerates from becoming monopolies.

Media Magazine reading and questions

Media Magazine 52 has a good feature on the changing relationship between audiences and institutions in the digital age. Go to our Media Magazine archive, click on MM52 and scroll to page 9 to read the article 'Two Key Concepts: The Relationship Between Audience and Institution'.

1) Briefly describe the production, promotion and distribution process for media companies.

Production - provides audiences with the media they want; needs to consider their desires and gratifications

Promotion - researches + identifies target audience for product; uses advertising/marketing strategies to entice them

Distribution - uses most appropriate methods for getting product to audience; makes it easy as possible to access

2) What are the different funding models for media institutions?

- License fee

- Public service remit

- Advertising

- Subscribers

- Sponsorship

3) The article gives a lot of examples of major media brands and companies. Choose three examples from the article and summarise what the writer is saying about each of them. 

Disney - an iconic family friendly brand that produces a wide array of animated and family films, theme parks, and merchandise

Marvel - an exciting range of superheroes that are beloved by many around the world

Asda - associated with family values of economy, good value, and unpretentiousness.

4) What examples are provided of the new business models media companies have had to adopt due to changes in technology and distribution?

- In the 1950's, Hollywood was worried TV would overshadow cinema, so they started to create gimmicks in their films

- In the 1980's, VHS tapes made accessing films much more convenient, so they created multiplex cinemas to try lure consumers there instead

- In the 2010's, streaming services have been offering on-demand content to subscribers, so naturally major companies got in on the trend aswell.

5) Re-read the section on 'The Future'. What examples are discussed of technology companies becoming major media institutions?

- Google owns YouTube, and has revolutionised the way we watch online content

- Amazon and Netflix create their own TV shows for subscribers to watch

- Facebook (now known as Meta), owns Oculus and has helped popularise the VR and MR field

6) Do you agree with the view that traditional media institutions are struggling to survive?

It very much depends, as some of them can adapt and some of them cannot. But even if they can't, it doesn't guarantee death. Newspapers are still thriving with modern adaptations like being able to read them online, but they're still around today.

7) How might diversification or vertical integration help companies to survive and thrive in a rapidly changing media landscape? 

Diversification and vertical integration helps companies to survive in such a dynamic market. For one, diversification allows media companies to thrive in another field, or at least, another form of it. Take TV companies, for example. The rise of services like Netflix was threatening cable/live TV, so they diversified and moved onto streaming with services like Netflix, Disney+ and Amazon Prime. Vertical integration allows companies to buy experts in one field or hire them to help them work on their own projects. For example, Facebook was very interested in the VR market, so they bought out Oculus and have made them work on their own VR headsets. Now, Facebook/Meta is the market leader for VR headsets, as their Quest headset range has been one of the most popular HMDs on the market as of recent. Regardless of how you look at it, diversification and vertical integration are both essential tools to help companies grow and thrive in adapting and changing markets. 

8) How do YOU see the relationship between audience and institution in the future? Will audiences gain increasing power or will the major global media conglomerates maintain their control?

I think we'll see a mix of both in the future due to the rise of/push for UGC. While major conglomerates probably won't see their power change anytime soon, I believe the audiences will have more control over the internet/media. For one, sites like YouTube and TikTok have been thriving as people generate and create their own content. This hasn't gone unnoticed by major media companies either, as sometimes they endorse/sponsor famous influencers to promote their products. Social media in general is becoming more than just a pass-time, as more and more people find jobs making social media content for other people. And, more recently, they've gone on to creating their own companies and products for people to enjoy. I firmly believe that audiences will gain an increasing power in the media space, but it won't affect the big conglomerates all that much. People can and will have the freedom to enjoy indie and big-budget media products for years to come.