SWOT Analysis of the Walt Disney Company

Chapter_1_Introduction_Enter_the_Arena_of_Strategic_Media_Management.pdf

Home >Business & Finance homework help >Marketing homework help >SWOT Analysis of the Walt Disney Company

Chapter 1

Introduction: Enter the Arena of Strategic Media Management

WHY THIS BOOK?

Studies in media and communications have historically been conducted from a “content” perspective with focuses on their effects and roles or approached structurally within a political, legal, or technological con- text. Although these emphases help us understand and improve the so- cieties we live in, the recent addition of the managerial and economic literatures into this discipline has provided media scholars with a means of comprehending further the critical issues of organizational behavior, business strategy, competition/market concentration, and financial performance that often shape how media firms and industries operate in a society.

It is a fair assessment to say that the fields of media management and economics have evolved tremendously over the last 20 years. The body of literature has grown to include not only basic textbooklike work that reviews general media management and economics concepts and prac- tices (Albarran, 2001; Alexander, Owers, & Carveth, 1993; Doyle, 2002b; Gershon, 2001; Owen & Wildman, 1992; Picard, 1989), but also in-depth writings that survey specific aspects of media industries such as globalization, media ownership, competition, and finance (Albarran & Chan-Olmsted, 1998; Compaine & Gomery, 2000; Dimmick, 2003; Doyle, 2002a; Picard, 2002; Vogel, 2001). The development of various scholarly journals such as The Journal of Media Economics, The Inter- national Journal on Media Management, and The Journal of Media Business Studies also offers a platform for both theoretical and empiri- cal work that investigates how media function as an economic institu- tion in a contemporary market environment. In essence, the maturing

1Chan-Olmsted, S. M. (2005). Competitive strategy for media firms : Strategic and brand management in changing media markets. Retrieved from http://ebookcentral.proquest.com Created from ashford-ebooks on 2019-03-01 14:49:13.

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

of media management and economics as a subfield of media and com- munications studies has been propelled by many scholars’ painstaking tasks of laying the fundamental, general framework of how to examine media from various business perspectives and the continuous contribu- tion of scholarly articles that address timely topics such as convergence, consolidation, audience demands of new media, and the evolution of media markets.

So what is the role of this book in the context of the current literary landscape? Compared to the books that offer an overview of manage- ment functions such as financial, personnel, and programming man- agement in media organizations, this book attempts to focus more on a subfield of management studies that tackles the subjects of strategic and brand management, with empirical data to illustrate how these con- cepts influence the decisions and behaviors of media firms. It also holis- tically integrates the new media context in all chapters and offers both descriptive and analytical discussions. Compared to the books that ad- dress general industrial economic issues in media industries, this book is different in that it reviews more micro, firm-related subjects and how these strategic developments shape the media market. In essence, the goal here is to provide empirical contributions coherent to the analytical foundations of a relatively new area of media management and eco- nomic literatures.

Outside of the realm of media management and economics, abun- dant literatures exist in the general business discipline that address the concepts, practices, and issues in strategic or brand management. Al- though these works are valuable in providing the fundamental analyt- ical frameworks for our studies, we would like to argue that media products have certain inherently unique characteristics that necessi- tate the revision of some generic concepts derived from nonmedia in- dustries because strategic decisions are often resource dependent and rely on the specificity within a particular industry (Chatterjee & Wernerfelt, 1991). As it is the goal of this book to adopt and appropri- ately adapt relevant business frameworks and concepts for the analy- sis of media markets, we now review the major distinctions between media and nonmedia products. Understanding the unique combina- tion of these characteristics is the first step in effectively examining media organizations as an economic institution.

Media products, as a “cultural” output, possess certain qualities that challenge the traditional premise of economic theory. Most notably, the complexity and ambiguity of the objectives of media organizations in a society present a difficult task in assessing economic “efficiency” in the allocation of resources (Doyle, 2002b). Although many media organi- zations operate to maximize profits and shareholder value, because of their visible role in a society, they also have to respond to the intrinsic cultural identity and value objectives of the society, which might be manifested in a set of regulatory objectives. This set of “official” societal objectives could be further complicated by the fact that a discrepancy

2 I CHAPTER 1

Chan-Olmsted, S. M. (2005). Competitive strategy for media firms : Strategic and brand management in changing media markets. Retrieved from http://ebookcentral.proquest.com Created from ashford-ebooks on 2019-03-01 14:49:13.

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

might exist between governmental and actual societal media needs. Be- cause the notion of “economic efficiency” is inextricably linked to objec- tives, the application of conventional economic theory is difficult under such circumstances (Doyle, 2002b).

Media organizations offer dual, complementary products of “con- tent” and “distribution.” The content component is intangible and in- separable from a tangible distribution medium. Because intangible, content-based media products may be stored and presented in various formats, media organizations would likely attempt to extend their product lines into related content formats to benefit from content repurposing, marketing know-how, and sharing of production re- sources. It is also logical for these organizations to acquire or develop distribution products and content products that complement each other. The fact that an existing product may be redistributed to and re- used in different outlets, via a “windowing” process, reinforces the ad- vantage of diversifying into multiple related distribution sectors in various geographical markets to increase the product’s revenue poten- tial. Such a resource alignment advantage encourages certain expansion strategies (e.g., vertical integration and related diversification) and lim- its the competitive options of some small, stand-alone firms. Luckily, as a “cultural” good, the value of a content product is dependent on con- sumers’ appreciation of the meaning it expresses. Because each media content creation (not the distribution medium or a duplicated copy) is, by nature, heterogeneous, nonstandardizable, and individually evalu- ated based on consumers’ personal tastes, there are ample opportunities for new-product development based on creativity.

Many media “content” products are also nonexcludable and nondepletable “public goods” whose consumption by one individual does not interfere with their availability to another but adds to the scale economies in production. The public-goods notion magnifies the impor- tance of abundant resources in initial investment (i.e., production of the first copy) and the benefit of appealing to a large audience because of the negligible marginal cost. Nevertheless, media markets are also highly susceptive to technological development and consumer preferences. The advent of digitization, for example, is lowering the initial cost of content production and enhancing product appeals, thus lessening the effect of scale economies. Adding to the complexity of the public-good character- istic, not only are the market boundaries between various types of me- dia products becoming blurred (i.e., the degree of substitutability is increasing) due to technological advances, but also many media firms are dependent on dual revenue sources from consumers and advertisers. The dual-revenue source mechanism, coupled with the public-good na- ture of media products, tends to encourage the strategy of offering a media content that appeals to the largest possible group of marketable, desirable consumers. Although consumers’ content preferences and ad- vertisers’ valuation of the preferences are intrinsically linked, without a direct payment from or a price mechanism based on consumers, the re-

INTRODUCTION I 3

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

sponsiveness of product development in reflecting consumers’ prefer- ences is less acute and the conventional economic resource allocation theorem is less applicable.

Finally, media products are subject to the cultural preferences and ex- isting communication infrastructure of each geographic market or coun- try and are often subject to more regulatory control because of their pervasive impacts on individual societies. Because of the importance of cultural sensitivity and understanding of the regulatory environment, media firms are more inclined to invest in related products or in related geographic markets to take advantage of their acquired local knowledge and relationships. The dependency on local communication and media infrastructure may also lead to a strategy that is geographically related (i.e., regionalized). This is because geographically clustered markets are often at similar stages of infrastructure development, and clusters of me- dia distribution systems may lead to cost/resource-sharing benefits.

In addition to the aforementioned unique economic properties, to- day’s media markets are competitive, global, and technology-driven and could easily be classified as having an uncertain industry environ- ment. Literatures have suggested that “uncertainty” often leads firms’ to active retooling or reinventing of their resources to gain competitive advantages (Landers & Chan-Olmsted, 2004). In other words, manage- rial decisions concerning the process and content of developing and im- plementing activities that align a firm’s organizational resources with environmental changes (i.e., strategy formulation and implementation) become much more critical. Taking the emergent role of “strategic func- tion” in media markets into consideration, this book is ultimately de- signed to add to the scholarly work in media management and economics by addressing the “strategy” dimension of media organiza- tions with reviews and empirical investigation of relevant strategic management (including global diversification strategy) and brand management concepts.

HOW IS TODAY’S MEDIA ARENA DIFFERENT?

As mentioned previously, the process of strategy formulation and im- plementation is basically a firm’s careful alignment of its internal re- sources with the changing environment to develop competitive advantages. The magnitude of this challenge is greater today than it has been historically because the media arena has changed signifi- cantly. Not only are there more media and media outlets, there are more ways to package and present media products. Not only have the geographical boundaries of media expanded, the boundaries between different media have become blurry. To set the stage for our discus- sions in media strategy, branding, and corporate diversification, we first review the major trends that have shaped the competitive arena of today’s media markets.

4 I CHAPTER 1

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

Multicasting and Multiple Distribution Outlets

It is common knowledge that the simple days of the big three broadcast networks are forever gone. Technological advances have enabled the provision of abundant outlets for the exhibition of electronic media con- tent. Because of the multicasting opportunities or the availability of multichannel capacities, media organizations are faced with a changed market landscape that requires careful deliberations of the following re- alities. First, the increase in exhibition outlets magnifies the importance of a narrowcasting approach, as well as the efforts to build a relation- ship with a smaller group of audience and to be responsive to what the audience demands. It also means that a certain degree of differentiation is necessary even among the non-narrowcasting content providers (e.g., CNN, a provider of news, a commodity product, needs to be per- ceived differently than Fox News). Because consumers now have more choices, content product development has become even more essential and scheduling, packaging, and windowing strategies are more critical in determining the total revenues that might be generated from one product. In a way, there are opportunities for new business models and revenues because of the heterogeneity of the environment. On the other hand, organization size becomes a factor as the ownership of multiple outlets grows to be more strategically significant. In essence, with more outlets available, there are either more competitors or different types of competitors (e.g., more consolidated owners). Also, the increase in mul- tiplicity means more chances for content production newcomers and advertising opportunities for better targeted consumers, while, at the same time, this multiplicity translates to a more fragmented and less loyal audience. A successful media organization needs to strategize within this changing market context.

Broadened Pipelines, Digitization, and the Internet

As the impact of technology has reached beyond the facilitation of multi- ple media outlets and multicasting, we have gradually entered the era of broadband communications, the infrastructure touted as an essential building block of future digital entertainment because its platform en- ables the fast delivery of digital videos with the personalization and on-demand nature of the Internet. Specifically, broadband systems en- hance traditional television with richer graphics, television crossover links to Web sites, electronic mail, chat room activity, and online com- merce through a back channel (t-commerce). As the two leading broad- band service providers, digital subscriber lines (DSL) and cable modem, continue to expand in this emerging market, we are witnessing a new phase of development for the television medium. Just as the introduction of cable television added the multichannel, narrowcasting capability to broadcast television, the arrival of the Internet and broadband infra-

INTRODUCTION I 5

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

structure brought more enhanced functions such as interactivity and personalization to cable television. Such an expansion of television func- tions and content varieties means more opportunities for product differ- entiation in the marketplace and thus more strategic options for market participants. In addition to broadened pipelines, the arrival of digital con- tent production, processing, and distribution also seems to elevate elec- tronic media into an important contender for media supremacy.

The exponential growth of the Internet has changed the rules of com- petition in many industry sectors. The “reach” and “speed” of the devel- opment, coupled with the unique characteristics of interactivity and personalization, amplify the need for innovative business strategies from the competing media incumbents in their attempt to counter or le- verage the rising popularity of this new market entrant. In fact, the interactivity and personalization functions enabled by the new broad- band, Internet-led, digital media system offer media organizations a unprecedented opportunity of formulating innovative marketing strat- egies that attract a new audience and build loyalty.

The strategic importance of the Internet is especially evident for the television industry as television and the Internet develop a symbiotic re- lationship with significant financial implications. Television provides the most desirable marketing communication channels for Internet marketers. With millions of Web sites available on the Net, the Internet is the most cluttered medium in the world. To succeed in marketing an online brand, a marketer most likely will need to distribute messages via a mass medium such as broadcast television to create broad awareness of the product or service, or use a niche medium such as cable television to connect with target markets. On the other hand, the increasingly crit- ical role of the Internet in American media consumers’ daily lives has led to a reorientation of business strategy and operations by the leading “mass” medium, the television broadcasters. With the arrival of digital television, many television broadcasters are contemplating the feasibil- ity of Web-enhanced applications such as on-screen links to advertisers’ Web addresses, localized news services, late-breaking news, sports sta- tistics, interactive polling, situated documentary presentation, online chat, and links to movie trailers and ticketing services (Nelson, 2001; Pavlik, 2001). All of these changes translate to strategic complexity as well as opportunities.

Changes in Media Value Chains and New Revenue Alternatives

The aforementioned transformation of media products and systems also modifies the existing value chains in media markets. For example, content producers are now capable of delivering products directly to media end users; content media outlets can also participate in e-com- merce activities, selling digital media goods along with physical mer- chandise. The value chain variation is especially evident in the elimination of certain middlemen and the changing functions of pack-

6 I CHAPTER 1

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

agers and technological facilitators. Specifically, faced with abundant media choices and narrowcasting options, the role of content aggregators/packagers, whose core activities are to assemble contents into packages that appeal to different segments of customers, is becom- ing strategically significant. Their competencies in accessing popular mass-appeal content, niche content, or narrowcasting distributors; re- packaging content for different user segments and/or distribution sys- tems; and having expertise in areas of marketing, brand management, and publicity become critical. In essence, because of the complexity and importance of matching the right product with the right segment of au- dience in a market full of choices, these media organizations have to de- velop strategies that enhance their knowledge of consumers, technology know-how, and creative use of information. Brand manage- ment expertise would also be essential as the factors of differentiated qualities and brand images are likely to influence consumers’ decisions. Technological advances also lifted the role of media product facilitators, which include software developers and hardware manufacturers such as Microsoft and Dell. These organizations add value to the product by providing navigation and interfacing equipment and software pro- grams that enable the easy access of media products. These facilitators influence the media arena in two ways: They might become a major player in a newer-media market segment (e.g., Miscrosoft’s MSN TV) and/or they might become important strategic alliance partners for the more traditional media organizations (e.g., the alliance between Motorola and NBC). Note that the modification of the value chain also means new, nonconventional revenue potentials such as the direct sales of digital content and space (e.g., spectrum space rental).

The Three Big C’s: Convergence, Consolidation, and Conglomerates

With the continuous integration of the Internet, computing, cable televi- sion, and telephone industries and the extraordinary growth of demand for Internet-related products and services, we are witnessing the emer- gence of a multimedia market that is multilateral and interwoven with previously segmented sectors. Some scholars suggested that there has been a transformation of three vertical industries—media, telecommuni- cation, and information technology—into five horizontal value-adding segments of content, packaging, processing, transmission, and devices. These five segments, rather than the individual industries, characterize more succinctly the emerging multimedia industry (Bane, Bradley, & Collis, 1997). Considering the trend toward such a converging media marketplace, communication technology scholars further asserted that there is a growing importance of “strategic positioning” along the inte- grating value chains of the Internet and television for the providers of content, distribution, software technology, and hardware manufacturers from the television, computing, and online industries (Thielmann &

INTRODUCTION I 7

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

Dowling, 1999). Just as the introduction of cable television added the multichannel, narrowcasting capability to broadcast television, the ar- rival of the Internet and broadband infrastructure brought more en- hanced functions such as interactivity and personalization to the television medium. Such an expansion of functions and content varieties means more opportunities for product differentiation in the marketplace and thus more strategic options for the market participants.

While convergence has surfaced as one of the major trends in media markets in the last decade, consolidation and the growth of media con- glomerates have been the other hotly debated developments. Resting on the assumptions of market power, internal market efficiency, and syn- ergistic benefit, media organizations have embarked on a journey of mergers and acquisitions. For example, the 1990s produced more than $300 billion in major media transactions including big mergers such as Viacom-Paramount, Disney-ABC, and AOL-Time Warner (Croteau & Hoynes, 2001). The interwoven relationship between media organiza- tions due to converging platforms and/or ownerships amplifies the in- terdependency of one another ’s strategic actions. In addition, although consolidation or conglomeration sometimes places firms with limited resources in an unfavorable position, convergence also rewards creative product development and marketing ingenuity. Under such a market environment, the key to competitive advantage seems to be a balance between access to resources and strategic innovativeness.

WHAT DRIVES CHANGE?

What are the forces that propel all these changes in media markets? It is essential for us to look beyond the prominent trends of today and inves- tigate the drivers that will continue to shape the environment in which media organizations will operate tomorrow.

Technology

It is evident that the diffusion of communication technologies has be- come a critical force in shaping not only a society but also the future of its media industries. New media technologies often have the potential of generating additional revenues or cutting costs; they might also transform the rules of competition in existing media markets. The ar- rival of the Internet and digitization clearly illustrates the diversity of strategies exhibited by different media firms and the magnitude of change brought about by communication technologies. Nevertheless, media management and economics literature has not adequately ex- plored the subject of technology in the context of firm behavior and the drivers of that behavior. In a sense, technology enables the shifting of the balance of power between different types of media organizations and between media and their consumers. For instance, the advent of

8 I CHAPTER 1

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

multiple media outlets, the Internet, and broadband infrastructure seems to have given consumers more control and benefited media con- tent packagers who have better contacts or knowledge of audience. The essential role of technology in today’s media markets means that media organizations need to monitor the types and rates of technologi- cal changes and diffusion and develop appropriate strategies to capi- talize on that technological development.

Globalization

Another driver for today’s complex media environment seems to be the growing global economic, political, and cultural interdependency. Just as in the oil and automotive industries earlier this century, the media in- dustry is going through a profound transformation, moving from a primarily national to a global commercial-media market, and in the process creating a group of powerful global media conglomerates such as Bertelsmann, Time Warner, and Sony. An industry can be defined as global if there is some competitive advantage to integrating activities on a worldwide base. Many of the aforementioned media characteristics (e.g., public goods) certainly contribute to a media firm’s tendency of gaining competitive advantages via globalization (e.g., building scale economies). In addition, several environmental developments have fos- tered a climate for multinational expansions. For example, liberaliza- tion, privatization, and a series of international reciprocal agreements that occurred in numerous countries in the last two decades have un- leashed many media industries that had been held to traditional bound- aries that were nearly a hundred years old. Furthermore, technological advancement, customer demand, and multilateral competition in the new converging market have also promoted the trend of globalization (Jamison, 1999).

Changing Audience

As one of the most critical segments of the general environment, the fac- tor of “audience” sets the range of strategic options available to a media organization. The audience size, ethnic mix, age composition, geo- graphic distribution, income allocation, lifestyles, and media habits all play a role in shaping the type and degree of audience demand for media products. Specifically, over the last two decades, we have seen shifts of population geographically (e.g., to the west and south in the United States), growth of certain ethnic and age groups (e.g., the Hispanic seg- ment and baby boomers), change in workforce diversity (e.g., women in the workforce), increase in dual-career couples, a faster-paced lifestyle but fewer physical activities, shorter attention spans, and new composi- tion of media mix (e.g., viewing television and using computer at the same time). The implication of these changes is that, amid the increasing

INTRODUCTION I 9

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

cost of doing business and numbers of stakeholders to answer to, media organizations need to scan, monitor, forecast, and assess the audience segment of the market environment even more diligently because media audiences now have more product choices as well as control over how they consume the media.

WHAT IS THIS BOOK ALL ABOUT?

This book is a collection of work that addresses the strategic competi- tion aspect of the electronic media industries as they respond to the ar- rival of new technologies such as broadband distribution systems, the Internet, interactive television, and others. Under the premise of a changing media marketplace, this book provides an overview of stra- tegic management concepts and the application of these concepts in the media industries, and examines brand management components, structures, and programs in the context of media products. Finally, this book empirically reviews the phenomenon of global media con- glomerates and applies the rich business literature in corporate diver- sification to media industries.

This book is composed of two sections. The first part offers a primer of the important concepts and theoretical frameworks in brand man- agement, general strategic management, and specific corporate-level strategies and how these concepts and frameworks might be adapted to reflect the unique characteristics of media products. The second part provides empirical examinations of broadcasting, multichannel video, interactive television, and broadband industries following an analytical framework devised for each of the markets. The goal of this work is to survey a relatively new area of study in media economics and manage- ment—strategy—and to begin the necessary empirical discussions of many strategy constructs in media industries.

Specifically, chapter 1 presents the rationale for this book, discusses the major trends in various electronic media industries, and establishes the essentiality of “strategy” in today’s changing media market. Chap- ter 2 examines major strategic management concepts and frameworks such as the industrial organization approach and resource-based view of strategy, strategic decision making, leadership, agency theory, strate- gic entrepreneurship, and competitiveness dynamics theories; discusses how these concepts and frameworks might be applicable to media prod- ucts in the context of a changing marketplace; and provides examples of strategic management concepts in media industries. Chapter 3 describes major corporate strategies and relevant theories in areas of diversifica- tion, mergers and acquisition, strategic networks, and international strategies, and discusses how these strategic approaches and theories might be applicable to media products in the context of a changing mar- ketplace. Chapter 4 reviews major brand management concepts and theoretical frameworks such as brand knowledge structures and brand

10 I CHAPTER 1

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

equity measurement, discusses how these concepts and frameworks might be applicable to media products in the context of a changing mar- ketplace, and provides examples of brand management practices in me- dia industries.

In the second half of the book, chapter 5 first considers the changes in the market environment of the broadcast industry and examines each of the external factors that shape or limit the strategic practices of broadcasters. It then reviews the competitive dynamics in the broad- cast industry using Porter ’s industry analysis framework. It also em- pirically addresses the issues of strategic alliances, mergers and acquisitions (M&A), Internet business models, and brand management in the new broadcast industry. Chapter 6 also begins with discussions of the changes in the market environment of the multichannel video industry (aka multichannel video programming distribution industry or MVPD) and examines each of the external factors that shape or limit the strategic practices of MVPD firms. It then reviews the competitive dynamics in the MVPD industry using the same framework of analy- sis. This chapter ends with a review of the issues of strategic alliances, M&A, strategic groups, and a new-media value chain. Chapter 7 first discusses the development of enhanced television. It then examines the drivers, ventures, and the strategic implications of enhanced television as well as the major media firms’ enhanced television strategies. The chapter concludes with a proposed strategic architecture for the en- hanced television market. Chapter 8 offers a review of the development and competition of the broadband telecommunications industry. It then examines the strategic network strategies of broadband firms and the video ventures of the telephone companies. The chapter ends with a comparison of the strategic differences between cable and telephone broadband firms. Chapter 9 begins with some international business concepts relevant to the global media business. It continues with a re- view of the world media landscape from the perspectives of media market multiplicity, diffusion, openness, and new-media potential. It also examines the diversification patterns of the leading global media conglomerates and the effect of these strategies on performance. The chapter concludes with an analysis of the top 10 global media con- glomerates’ current media holdings and a proposed framework for ex- ploring these firms’ diversification approaches. Finally, chapter 10 summarizes the concepts essential to the strategy studies of media in- dustries, compares the strategic trends in various industries, and dis- cusses the implications of the similarities and differences. It also addresses the strategic opportunities and challenges for media firms considering the trend toward the development of a digital media mar- ketplace that is characterized by consolidated ownership and frag- mented audiences. The chapter ends with a discussion of the important issues concerning the research methods, theories, and topics in the studies of strategic management, brand management, and global di- versification as applied in the context of media markets.

INTRODUCTION I 11

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .

REFERENCES

Albarran, A. B. (2001). Management of electronic media.Belmont, CA: Wadsworth/Thompson Learning.

Albarran, A. B., & Chan-Olmsted, S. M. (1998). Global media economics: Commercializa- tion, concentration and integration of world media markets. Ames: Iowa State University Press.

Alexander, A., Owers, J., & Carveth, R. (1993). Media economics: Theory and prac- tice.Hillsdale: Lawrence Erlbaum Associates.

Bane, P. W., Bradley, S. P., & Collis, D. (1997). Winners and losers: Industry structure in the converging world of telecommunications, computing, and entertainment. In D. B. Yoffie (Ed.), Competing in the age of digital conver- gence(pp. 227–246). Boston: Harvard Business School Press.

Chatterjee, S., & Wernerfelt, B. (1991). The link between resources and type of di- versification: Theory and evidence. Strategic Management Journal, 12(1), 33–48.

Compaine, B. M., & Gomery, D. (2000). Who owns the media?Mahwah, NJ: Law- rence Erlbaum Associates.

Croteau, D., & Hoynes, W. (2001). The business of media: Corporate media and the public interest.Thousand Oaks, CA: Sage.

Dimmick, J. (2003). Media competition and coexistence: The theory of niche.Mahwah, NJ: Lawrence Erlbaum Associates.

Doyle, G. (2002a). Media ownership: The economics and politics of convergence and concentration in the UK and European media.Thousand Oaks, CA: Sage.

Doyle, G. (2002b). Understanding media economics.London: Sage. Gershon, R. A. (2001). Telecommunications management: Industry structures and

planning strategies.Mahwah, NJ: Lawrence Erlbaum Associates. Jamison, M. A. (1999). Industry structure and pricing: The new rivalry in infra-

structure.Boston: Kluwer Academic. Landers, D., & Chan-Olmsted, S. M. (2004). Assessing the changing network

television market: A resource-based analysis of broadcast television net- works. The Journal of Media Business Studies, 1(1), 1–26.

Nelson, K. (2001, March 19). Cable show put new technology on front burner. Electronic Media, 20(12), pp. 13.

Owen, B. M., & Wildman, S. S. (1992). Video economics.Cambridge, MA: Har- vard University Press.

Pavlik, J. (2001). Journalism and new media.New York: Columbia University Press. Picard, R. G. (1989). Media economics: Concepts and issues.Newbury Park, CA: Sage. Picard, R. G. (2002). Media firms: Structures, operations and perfor-

mance.Mahwah, NJ: Lawrence Erlbaum Associates. Thielmann, B., & Dowling, M. (1999). Convergence and innovation strategy for

service provision in emerging Web-TV markets. The International Journal of Media Management, 1(1), 4–9.

Vogel, H. L. (2001). Entertainment industry economics: A guide for financial analy- sis.New York: Cambridge University Press.

12 I CHAPTER 1

C o p yr

ig h t ©

2 0

0 5 . R

o u tle

d g e . A

ll ri g h ts

r e se

rv e d .