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The Issues Raised by Media Ownership in Contemporary Media
Practice
The Issues Raised by Media Ownership in Contemporary Media
Practice
Definition:How the ownership of the
production, distribution and exhibition companies affects
the type of films that are made.
Definition:How the ownership of the
production, distribution and exhibition companies affects
the type of films that are made.
Issues: Production/Distribution/Marketing/Exchangeraised byMedia Ownership: Majors/Independentsin Contemporary Media Practice: Film/Warner Bros
Issues: Production/Distribution/Marketing/Exchangeraised byMedia Ownership: Majors/Independentsin Contemporary Media Practice: Film/Warner Bros
KEY TERMS
Majors
Mini Majors
Media Conglomerate
Subsidiaries
Vertical Integration
Horizontal Integration
On your tables, brainstorm as many film companies as you can think of (both major
and independent)
On your tables, brainstorm as many film companies as you can think of (both major
and independent)
TASK:TASK:
Film:Film: Media Ownership
Media Ownership
• In you exam, you will need to discuss:
1. Mainstream Hollywood Cinema (Majors)– How their ownership affects the way they
produce, distribute, market and exhibit their films.
1. Independent Cinema (Indies) – How their ownership affects the way they
produce, distribute, market and exhibit their films.
• Media Ownership, within the film industry, refers to how GREATER FINANCES can enhance the different levels of an institutions construction & selling of a film.
Film:Film: The MajorsThe Majors
• A major film studio refers to:– A movie production and distribution company that
releases a substantial number of films annually.– A company that consistently commands a
significant share of box-office revenues in a given market.
• In the Western market, there are six film studios that make up 90% of the US box office revenue. They are known as ‘The Majors’ or ‘The Big Six’.
• The "Big Six” operate in & around Hollywood, & are centered in Film Studios that were active in Hollywood's 1930’s & 40’s Golden Age of cinema.
TASK:TASK:
Today’s ‘Big Six’ Majors
Today’s ‘Big Six’ Majors
11 22
33 44
55 66
Film:Film: Mini MajorsMini
Majors• Aside from The Majors’, there are also a set of independent
producers/distributors who perform very well financially in the film industry, they are often referred to as ‘Mini Majors’.
TASK:TASK:
The History of The Walt Disney Company
Film:Film: Media Conglomerate
Media Conglomerate
• These Major studios come under six diversified media conglomerates whose various movie production & distribution subsidiaries command the Hollywood market.
• A conglomerate is a large company that consists of divisions of seemingly unrelated businesses. It will be involved in a diversity of other businesses aside from the film industry.
• A media conglomerate describes companies that own large numbers of companies in various mass media such as television, radio, publishing, movies, and the Internet.
Film:Film: Subsidiary CompaniesSubsidiary Companies
• In order to cash in on the present day boom in independent film, the big six also include:– Formerly independent companies that have been
acquired & brought in under the corporate umbrella.
– Created independent companies, that have been designed to develop less commercial, character driven films appealing to the Art House market.
• The ‘Majors’ are primarily backers & distributors of films. They mainly focus on development & finance. Actual production is largely handled by these independent companies. For example:– Warner Bros & New Line Cinema - Paramount &
Paramount Vantage - Disney & Pixar - Universal & Working Title .
TASK:TASK:
The Walt Disney Company Distribution
TASK:TASK:
Catch Up QuestionsCatch Up Questions
Catch Up QuestionsCatch Up Questions
Catch Up QuestionsCatch Up Questions
Catch Up QuestionsCatch Up Questions
Catch Up QuestionsCatch Up Questions
TASK:TASK:
PRODUCTION
Often a single parent company will own multiple companies in the film industry.
HORIZONTAL
The parent company owns multiple subsidiary companies at the same stage of the film industry.
VERTICAL
The parent company owns multiple subsidiary companies across different stages of the film industry.
Question: What are the advantages for a parent company of each type of ownership?
EXHIBITION
DISTRIBUTION
For example The Walt Disney
Company owns:
Marvel Studios Productions (Production)
Walt Disney (Distribution)
Disney Land Park resorts, Disney Publishing, Disney Home Entertainment
Film:Film:Horizontal &
Vertical Integration
Horizontal & Vertical
Integration
MARKETING
MARKETING
MARKETING
• Conglomerate:Time Warner
• Parent Division: Warner Bros: Entertainment Group, HBO
• Major Studio Subsidiary: Warner Bros: Pictures
• Other Mainstream/Art House Subsidiaries: New Line Cinema, HBO Films, Castle Rock Entertainment, Warner Bros: Animation
Warner Bros. Pictures is the number 1 biggest player in the film industry. Securing
the rights to major films like:
• Harry Potter• Superman• Batman
• The Matrix• Star Wars
• Conglomerate:Viacom
• Parent Division: Paramount Motion Pictures Group
• Major Studio Subsidiary: Paramount Pictures
• Other Mainstream/Art HouseSubsidiaries:
• Nickelodeon Movies, MTV Films,Paramount Vantage
Paramount Pictures continues to be one of the most
successful film production companies in the world.
Securing the rights to major films like:
• Star Trek• War of the Worlds
• Mission Impossible Series• Transformers
• Tropic Thunder
• Conglomerate:Sony
• Parent Division: Sony Pictures
• Major Studio Subsidiary: Columbia Pictures
• Other Mainstream/Art HouseSubsidiaries: Sony Pictures Animation, Sony Pictures Classics
Columbia Pictures remains a big player in the business.
Some of this company's recent successes include:
• James Bond Series• The Da Vinci Code
• 21 Jump Street
• Conglomerate:General Electric/Vivendi
• Parent Division: NBC Universal
• Major Studio Subsidiary: Universal Studios
• Other Mainstream/Art HouseSubsidiaries: Universal Animation Studios, FocusFeatures, Working Title
Universal Studios know what it takes to make money in this
industry, and this is demonstrated through major
hits like:
• The Bourne Series• The American Pie Series
• Knocked Up• American Gangster
• Conglomerate:News Corporation
• Parent Division: Fox Filmed Entertainment
• Major Studio Subsidiary: 20th Century Fox
• Other Mainstream/Art HouseSubsidiaries: 20th Century Fox Animation, NewRegency, Fox Searchlight
Some of the biggest and most successful movies from Rupert
Murdoch’s empire include:
• Mr. and Mrs. Smith• Star Wars Episodes II & III,
• Taken Series• Planet of the Apes
In groups note down the advantages and disadvantages of Avengers Assemble/Attack the Block being produced/not produced by a media conglomerate, such as Disney
In groups note down the advantages and disadvantages of Avengers Assemble/Attack the Block being produced/not produced by a media conglomerate, such as Disney
TASK:TASK:
Past Exam Question Past Exam Question
• Individually, answer the following past exam question supplied by OCR
TASK:TASK:
KEY POINTS:• The film industry is dominated by major
Hollywood studios. These Majors are hugely financially successful & have millions to spend on their movies (Budget). Something independent institutions do not have.
• Major studios own companies (Subsidiaries) that cover all aspects of the filmmaking process. They can therefore spend a large amount of money not only on production, but also the distribution & marketing of a film.
• These giant institutions are able to use their size and ownership of a wide range of media to cross promote their films (& other media) across their wide media empires. The synergies of cross-promoting that can be created by these media organisations is astonishing.
Film:Film: OverviewOverviewWHAT YOU NEED TO CONSIDER:
• What is the affect of media ownership on the British film industry, Independent filmmakers & of course the Major Film Studios?
• How can indies survive in the British marketagainst the high concept, big-budget films?
• What kinds of niche audiences are left for indies to attract?
• Are mass audiences out of reach for indies, given their genres & budgets?
• How successful have indies been in reaching mass audiences with their films?
• How healthy is it that just a few mega media groups can own such a range of media?