Media Industries: Horizontal integration and Vertical integration

Media Industries

Horizontal integration: A situation when two firms in the same industry and at the same stage of production come together. This could be through the two businesses merging together or through one firm taking over another. For example two chocolate companies or two estate agents may decide to join together.

Drawbacks: They don’t profit as much money as they should.

Vertical integration: Is where an institution has shares or owns each part of the production and distribution process. An example is Warner Bros Entertainment calls itself a fully integrated broad based entertainment company which owns film studios and the means to distribute the films as well as some of the cinemas in which they are shown.

Drawbacks: Products made might not be to the best quality.

A situation when two firms in the same industry but at different stages of production come together. This could be through the two businesses merging together or through one firm taking over another. For example a baker could buy a wheat farm or a television studio may buy up a production company which produces some of its television programmes.

Co-operatives: The media cooperatives is a relatively new form of cooperative. They are a form of alternative media, critical of capitalism, with left-wing stances. Media Cooperatives are a special form of service cooperative, in which customers and service providers usually unite to oppose the pure profit motive. In contrast to mainstream media companies, media cooperatives pursue more idealistic goals.

Code and practice of the BBC:

The codes of practice recognise:

It is in the interest of the UK television audience that there is a competitive and thriving independent production supply market.

The BBC has a role as the nation's principal public service broadcaster to help stimulate and support the development of the independent production sector.

The intention of the Code is to ensure that relations between the BBC and independent producers are conducted on a fair and transparent basis.

In line with the provisions of the BBC Agreement it includes details of how the following issues will be dealt with:

The timetable for the negotiations of the commissioning agreement.

The rights that are acquired together with the payment for, duration and exclusivity of those rights.

The arrangements for reviewing, monitoring and ensuring compliance with the Code under the auspices of Ofcom.

The provisions for resolving any disputes arising in respect of the Code.

Unlawful practice:

This is the privacy of copy-right.

Violations of health and safety rules.

Censorship:

Censorship blocks something from being read, heard, or seen. If you've ever heard the sound of bleeping when someone is speaking on television, that's censorship.

Example can be explicit language, violent scenes and immature scenes.

Working independently/freelance:

Sector: industries, for example film, television, radio, interactive media, interactive games, journalism;

Specialism for example: documentary, promotional videos, editing, web design, animation, scriptwriter, story boarder, music production, lyricist, photographer, copy writer, copy editor, sound editor, sound effects specialist

Resources: equipment; materials; work space; finance; time; personal

Professionalism: reliability; meeting deadlines; time management; commitment; personal and professional ethics; business relationships; presentation skills; communication skills; dress code

Health and safety: safe working practices; safety of work area; self-discipline; stress management; time management; diet and exercise; planning time off; holidays; insurance.