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What does this mean?
• Who owns the TV channels and the Newspapers?
• Who controls what information the give out?
• Where does their money come from?
• How do they make more money?
Ownership, control and financeQuestions from previous exam papers:
• From the media industry you have studied today, identify two different types of media ownership?
• How might the ownership of a media organisation affect its output?
• From your studies of the media industries you will know that media organisations can vary in size and nature. What is a ‘media conglomerate’?
• Media organisations need to find money to finance their operations. Name one way in which an organisation in that industry generates income.
Extra thinking: Do you know any of the answers already?
Key words:
• Concentration of ownership• Bias• Media Imperialism• conglomerates• Integration• convergence of Media Industries• additional content
Biasonly their viewpoint
• Times• Sun
• Mirror• Guardian
Conservative (Tory)-right wing
Labour (left)
What types of media ownership are there?
Public ownership
Public ownership - an example of a public ownersip would be the BBC. -The BBC is finances by a license fee (audience)-The bbc is not owned by shareholders so its profit motive is paramount
Commercial ownership
When industries make their money through commercials and advertisement
- For example the ITV and CHANNEL FOUR are owned by a commercial ownership as they are financed and make their money through things like advertising and commercials (merchandise)
Sometimes the channels and the info they give out can be effected by who sponsors them
How would the ownership effect the output (what it says or writes about?
Commercial ownership- how does this effect it’s output(what it shows)
Commercial channels such as ITV can be effected by who has paid to advertise eg product placement and sponsors
It may also mean that they may only show stories that are to do with it’s shareholders or sponsors-Therefore it has bias .
This also works with newscorp owned times and the sun…they want to get the biggest audience possible so they may publish the popular or commercially paid storiesd to get more readers or money. (they also may
have political bias effecting stories).
BBC has to be unbiased-as the public own it
CONGLOMERATE“A large international organisation that owns a lot of companies in different media industries.”(these are often American companies).
Ownership
Media conglomerate:A large international organisation that owns a lot of companies in different media industries. Examples are Disney, Time Warner and News Corp.
Concentration of media
One effect of the concentration of media ownership is that the media market is dominated by a small number of companies- (these are mostly American).
Is this a positive or negative thing?
Write down a good thing and a bad thing
Bad things about media conglomerates:
• Small number of companies own the media companies
• Lack of competition
• Owners have a lot of power to present their political views to large audiences
Good things about media conglomerates
• They could have a positive influence-over politics.
• Wider target audience and are far reaching• News is consistent.• They can work as a powerful force-eg Sarah
Payne.• Job security-they are so big they are unlikely
to go under
• http://www.thesun.co.uk/sol/homepage/news/justice/
Newspapers
Ownership, control and funding.
How do newspapers make money?
Write down the 2 main reasons?
How are newspapers funded?
80% of the money is made from advertisingMost of the rest is made from sales
But… If the sales fall then so will the money made from advertising. Companies want to advertise where people will see their products!
advertising Sales
Newspapers
Ownership, control and funding.
How do TV channels make money?
How does the BBC make money?
Extra thinking: Is this different form channels like ITV?
GOVERNMENT £3.65bn£145.50
Public pay licence fee Govt collect
the money
Govt give BBC a lump sum
66% - All TV17% - National and local radio6% - Online e.g. BBC websites, iPlayer11% - Other e.g. transmission and licence fee collection costs
All TvNational and local radioOnline - website, iplayerOther - collection , trans-mission
How the BBC Spend their £3.56bn each year
(2009-2010 data)
How else, other than the licence fee, does the BBC make money?
Selling ProgrammesSelling Merchandise
Selling Formats
Sponsorsh
ip
and adverts
Selling formats
Mer
chan
dise
Financing the TV industryFunding the television industryBBCThe BBC is partly funded from the TV licence fee. This is £145.50 per household.It also makes money from its commercial interests in the same way as any other TV company.Commercial television makes money from advertising and sponsorship.
ITVMost top ITV shows have sponsors:Coronation Street is sponsored by compare the marketOther ways television companies make money are:Merchandising linked to programmesSelling programmes to other countries/channelsSelling formats for shows such as Big Brother, Pop Idol etcAnd also through making audiences pay for additional content
Additional content- financing TV
• Competitions• ‘Phone ins’• Extra channels…eg movies, sports• Red button• Merchandise
Now answer these questions in your book (each worth 2 marks in exam)
1. From the media industry you have studied today, identify two different types of media ownership?
2. How might the ownership of a media organisation affect its output?
3. From your studies of the media industries you will know that media organisations can vary in size and nature. What is a ‘media conglomerate’?
4. Media organisations need to find money to finance their operations. Name one way in which an organisation in that industry generates income.
