Hoorcollege 5 – 18-10-2017
Chapter 9 – Media Economics and Governance
Governance: regulating the media landscape.
Three spheres of influence:
1. Economics: many media are dependent on money coming in (advertisements, other
funding (subsidies, donations), sales) Advertising is by far the largest form of revenue
in the media. 19th century: most money was spent on sales.
Three types of funding:
Advertising
Sales
Other funding (subsidies, donations)
Economic frame: competition
a. Intermedia: different media that media that compete with each other (radio
vs television etc.)
b. Intramedium: same media that compete with each other.
c. Interfirm: media that compete but belong to the same firm. Magazines that
compete with each other but belong to the same media house.
Concentration:
- Horizontal: merging of two newspapers (bijv. Disney, own different links in a
chain)
- Vertical: when a film studio buys a cinema strain
- Ownership: different media houses, publishing house buys other publishing house
(audience level cannot go without ownership)
- Editorial: different editors
- Audience levels: bijv. Krant koopt vrouwenmagazine op en integreert dat in de
krant om vrouwen aan te trekken.
Result of economic process, can be combatted by
Regulation: political framework against too much concentration, variety of
content/choices will come into jeopardy with too much concentration.
Dependent on technological framework and impossible to own monopoly on
innovation
Chapter 9 – Media Economics and Governance
Governance: regulating the media landscape.
Three spheres of influence:
1. Economics: many media are dependent on money coming in (advertisements, other
funding (subsidies, donations), sales) Advertising is by far the largest form of revenue
in the media. 19th century: most money was spent on sales.
Three types of funding:
Advertising
Sales
Other funding (subsidies, donations)
Economic frame: competition
a. Intermedia: different media that media that compete with each other (radio
vs television etc.)
b. Intramedium: same media that compete with each other.
c. Interfirm: media that compete but belong to the same firm. Magazines that
compete with each other but belong to the same media house.
Concentration:
- Horizontal: merging of two newspapers (bijv. Disney, own different links in a
chain)
- Vertical: when a film studio buys a cinema strain
- Ownership: different media houses, publishing house buys other publishing house
(audience level cannot go without ownership)
- Editorial: different editors
- Audience levels: bijv. Krant koopt vrouwenmagazine op en integreert dat in de
krant om vrouwen aan te trekken.
Result of economic process, can be combatted by
Regulation: political framework against too much concentration, variety of
content/choices will come into jeopardy with too much concentration.
Dependent on technological framework and impossible to own monopoly on
innovation
