Economics drives most media companies for the sheer fact that if they don't deliver profits consistently in an ever-competitive world, they will quickly be replaced. People invest in money makers and many will quickly pull out if they do not see profits. With so many different facets of media available, companies can become highly diverse and therefore have interest in the economics of media at a global scale. The revenues that are generated by these huge enterprises are amazing. In the book, Vivian says that Time Warner generates revenue of $37 billion a year from movies books, television, magazines, online sites and other media operations. The fact that this media conglomerate has so much money to deal with over so many media outlets, there is a demand fro all of these outlets to focus on meeting economic expectations. If companies do not constantly adjust and improve to stay ahead of its competitors, it will quickly become overtaken.
Advertising is a huge factor in media economics. Outlets depend on other companies to use them as advertising outlets to make a profit. The Super Bowl is an example of companies paying top dollar to a media outlet because of the huge amount of viewership that the outlet is sure to receive. The outlet specifically purchases the rights to broadcast this presentation because it is a great economic strategy to be able to advertise for these other companies.
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