RTV 3007 TEST 2 QUESTIONS WITH VERIFIED
ANSWERS
What is a broadcast station - Answers - o Carry commercial messages
o Hold a license from federal government
o Transmits signal over the air
What is the primary source of revenue for commercial broadcast stations? - Answers - o
Advertisements - subscribers
What are some departments in the organizational structure of a broadcast station? -
Answers - o Administrative & General functions
o News
o Technical functions
o Programming functions
o Promotion - to promote the name (specific programs) (creative series/marketing)
o Sales - local and national
o Traffic - manage the flow of the programming over the air (part of programming and
sales)
What is a station group? - Answers - o A group like cox media. A company that owns
multiple stations. Not necessarily having the same affiliations or being in the same
market
What is an O&O? - Answers - o Owned & Operated
o TV stations are owned and operated by the broadcast networks
• What is meant by the phrase "economies of scale"? - Answers - o A large business
can be more efficient than a small one
• What are some examples of how "economies of scale" benefit station groups? -
Answers - o Might share space, might share personnel, might share sales teams, share
equipment (get it for less money cause you're buying more)
o Sharing talent... get exposure. Get moved to a bigger market
• What legislation had a dramatic impact on station ownership in the US? - Answers - o
Telecommunications act of 1996
what was the impact on radio (telecommunications act of 1996 - Answers - o TV &
Radio license renewals extended to 8 yrs.
o Eliminated national caps on radio station ownership
o Increased radio station ownership caps in the largest markets from 4 to 8
o 7% of market was owned by large groups... within 7 or 8 years, 25%
, What is the limit on the number of radio stations that can be owned nationally? -
Answers - o how many stations can be owned nationally by any 1 company? NO LIMIT
(but there are market limitations)
Same for limits on radio station ownership
What are the limits on TV station ownership? - Answers - o First... think market...no
more than 2 stations in the market most of the time (based on market size) Both can't
be ranked in the top 4. (duopoly) "triopoly" - allowed in markets with more than 18
stations
o Second... think national... No more than 39% of national audience.
• How does advertising color every aspect of broadcast operations? - Answers - o
Advertising drives format choices, equipment that might be purchased, drives what the
sales people are trying to accomplish, what programs are going to be in there, etc.
shapes all aspects of the operation
• What are different types of advertising? - Answers - o Network advertising -
Commercials placed by major advertisers to reach nationwide audience
o Local/Adjacencies -- Ads from local businesses in same market such as auto dealers,
furniture stores, banks, food stores. Sold on local level
o National spot - Selected geographical areas. Ex: buying ads for southeast spot
o Barter Syndication - National ads placed in syndicated programs (less concerned
about this one)
Network advertising - Answers - o Commercials placed by major advertisers to reach
nationwide audience
Local/Adjacencies - Answers - o Ads from local businesses in same market such as
auto dealers, furniture stores, banks, food stores. Sold on local level
National spot - Answers - o Selected geographical areas. Ex: buying ads for southeast
spot
Barter Syndication - Answers - o National ads placed in syndicated programs (less
concerned about this one)
• What are "makegoods" and when are they used? - Answers - o Makegoods are also
used when ratings don't meet expectations (mostly TV)
o Made a purchase for advertising and doesn't reach the certain amount of ratings that
were promised ... so you get a makegood
o Station messes up or interrupts commercial so your spot doesn't play... you get a
makegood
ANSWERS
What is a broadcast station - Answers - o Carry commercial messages
o Hold a license from federal government
o Transmits signal over the air
What is the primary source of revenue for commercial broadcast stations? - Answers - o
Advertisements - subscribers
What are some departments in the organizational structure of a broadcast station? -
Answers - o Administrative & General functions
o News
o Technical functions
o Programming functions
o Promotion - to promote the name (specific programs) (creative series/marketing)
o Sales - local and national
o Traffic - manage the flow of the programming over the air (part of programming and
sales)
What is a station group? - Answers - o A group like cox media. A company that owns
multiple stations. Not necessarily having the same affiliations or being in the same
market
What is an O&O? - Answers - o Owned & Operated
o TV stations are owned and operated by the broadcast networks
• What is meant by the phrase "economies of scale"? - Answers - o A large business
can be more efficient than a small one
• What are some examples of how "economies of scale" benefit station groups? -
Answers - o Might share space, might share personnel, might share sales teams, share
equipment (get it for less money cause you're buying more)
o Sharing talent... get exposure. Get moved to a bigger market
• What legislation had a dramatic impact on station ownership in the US? - Answers - o
Telecommunications act of 1996
what was the impact on radio (telecommunications act of 1996 - Answers - o TV &
Radio license renewals extended to 8 yrs.
o Eliminated national caps on radio station ownership
o Increased radio station ownership caps in the largest markets from 4 to 8
o 7% of market was owned by large groups... within 7 or 8 years, 25%
, What is the limit on the number of radio stations that can be owned nationally? -
Answers - o how many stations can be owned nationally by any 1 company? NO LIMIT
(but there are market limitations)
Same for limits on radio station ownership
What are the limits on TV station ownership? - Answers - o First... think market...no
more than 2 stations in the market most of the time (based on market size) Both can't
be ranked in the top 4. (duopoly) "triopoly" - allowed in markets with more than 18
stations
o Second... think national... No more than 39% of national audience.
• How does advertising color every aspect of broadcast operations? - Answers - o
Advertising drives format choices, equipment that might be purchased, drives what the
sales people are trying to accomplish, what programs are going to be in there, etc.
shapes all aspects of the operation
• What are different types of advertising? - Answers - o Network advertising -
Commercials placed by major advertisers to reach nationwide audience
o Local/Adjacencies -- Ads from local businesses in same market such as auto dealers,
furniture stores, banks, food stores. Sold on local level
o National spot - Selected geographical areas. Ex: buying ads for southeast spot
o Barter Syndication - National ads placed in syndicated programs (less concerned
about this one)
Network advertising - Answers - o Commercials placed by major advertisers to reach
nationwide audience
Local/Adjacencies - Answers - o Ads from local businesses in same market such as
auto dealers, furniture stores, banks, food stores. Sold on local level
National spot - Answers - o Selected geographical areas. Ex: buying ads for southeast
spot
Barter Syndication - Answers - o National ads placed in syndicated programs (less
concerned about this one)
• What are "makegoods" and when are they used? - Answers - o Makegoods are also
used when ratings don't meet expectations (mostly TV)
o Made a purchase for advertising and doesn't reach the certain amount of ratings that
were promised ... so you get a makegood
o Station messes up or interrupts commercial so your spot doesn't play... you get a
makegood
