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MEDIA GLOBALISATION:
Global Media Concepts and Theories
incorporating key concepts
(from Sessions 3, 4 and 5)
MCC314/MCC614 Global Media Technologies
2nd Semester 2009 - Session 3 Lecture
By Associate Professor Terence Lee
Introduction & Definitions
From the outset, 3 Qs:
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What is media globalisation?
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How is media globalisation different from globalisation?
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Are they different in the first place?
Media globalisation deals with “the pivotal role that
the media play in the more general globalisation
process” (Devereux, 2003: 33).
The subject of media globalisation is primarily concerned
with the domination of the global media industry by a small
number of powerful transnational media conglomerates, and
the extent to which these impact upon the worldviews of
individuals in different parts of the world.
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“Transnational” is preferred to “multinational” when
describing global media conglomerates
Companies operate as if they are purely
regional/national/local companies despite being part
of a global setup
i.e. HSBC, Daimler-Chrysler, DHL, UPS etc
Three senses of ‘media’
(Ref: Flew, 2007: Chapter 1)
1) Technological means of communication
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‘Media’ extension of ‘medium’
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plural term
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transmission model of communication
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refer to a range of ‘communicative praxis’ or ‘practices’,
including: infrastructure, telecommunications, flows, etc.
2) Institutional and organizational forms through which
media content is produced and distributed.
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the notion of ‘industries’ as in ‘global media industries’ as
well as the ‘market’
Flew (p. 3): “The term market is used to incorporate a
variety of forms of transactions between agents”
producers & consumers or ‘prod-Users’ & ‘pro-Sumers’?
3 senses…
3) Informational and symbolic content that is received
and consumed by readers, audiences and users.
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i.e. the socio-cultural context of reception.
Which leaves us to consider:
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Media and power
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Media markets
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Media institutions and policy
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Media and culture
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New Media Technology
6 distinct features
of media globalisation
1.
Concentration, Conglomeration (& Corporatisation):
The emergence of and continued domination of the global
media industry by a small number of transnational media
conglomerates (as mentioned earlier).
2.
Technological Change: The extent of new information
and communications technologies use by these media
conglomerates.
3.
Deregulation: The increasingly deregulated environment
in which these media organisations operate
More…
6 distinct features
of media globalisation
(continued)
4.
Cultural Imperialism: The globalisation of media content,
leading to greater amount of homogenisation and
standardisation of media product
5.
Asymmetrical Flows: The uneven flow and distribution of
information and communication (media) products within
the global system and the different level of access that
global citizens have to global networks of communication.
6.
Ideology of Capitalism: Media globalisation is inextricably
linked with the promotion of the ideology of consumerism
and therefore bound up with the capitalist project (cf.
Appadurai’s Ideoscape).
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Corporatization is under `global media ownership’
because of globalization of media, rise of media
conglomerates
Direct result of `corporate mentalities’ or expansion of
corporation as legal entity and business strategy;
driving global mass media.
“The Corporation” – 2004
Chapter 3 of Flew – list of media outlets i.e. Warner,
News Corp, Walt Disney, Vivendi Universal etc
Most of these huge media companies have grown
through Ms and As
Mergers & Acquisitions (M&As), Economic
Integration, Etc….
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1990s saw unprecedented wave of mergers and
pressure to increase
Move from manufacturing-dominated economies
(mining & automotive) to information-based
economies
Global companies with non-media assets (GE) move
to media
“Who controls the media is key to our culture and
democracy, MediaGuardian identifies the 100 people
that decide what you watch, read, hear,
download.Those who make up the Media Guardian
100 are predominantly white, male and middle-aged,
which is no surprise when you remember the list is
about power, not equality”
Mergers & Acquisitions (M&As), Economic
Integration, Etc….
More info on the world's biggest 500 companies at:
http://money.cnn.com/magazines/fortune/global500/2009/
How many of these are media/entertainment companies?
Why are these mergers happening?
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Significant cost savings from the fuller utilisation of existing
personnel, facilities & ‘content’ resources
Ability to apply economically-proven strategies of
integration – both horizontal and vertical
Utilising economies of scale and scope (greater opportunities
of cross-promotion, cross-selling and privileged access)
When Disney produces a film, it can guarantee film showings on
cable and commercial network television, produce soundtracks,
spin-off tv series, related amusement park rides, CD-roms,
books, comics and merchandise to be sold (Herman &
McChesney, p.54)
Mergers & Acquisitions (M&As), Economic
Integration, Etc….
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Disney has become involved in building family communities
 transferring Disneyland success to actual homes and
suburbs in Florida!
Whilst many mergers are profitable, some can run into
problems (assets paid too high and market changes allow
unmanageable debts)
Joint-ventures are more flexible, less formal structure
than buyouts or takeovers
Attractive due to reduction of capital and risk of
participants, allow to permit spread resources widely.
Often happen between global media giants and second-tier
company with ‘national basis’ i.e. News Corp JV with StarTV
in 1993
Mergers & Acquisitions (M&As), Economic
Integration, Etc….
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Corporations try to guess most profitable company profile
(i.e. internet or satellite television)
Market forces increased concentration on media oligopolistic
framework (enemies sometimes work on agreements on
JVs, projects), causing slim possibilities for new companies
to actually enter the global arena.
Biggest media merger Time Warner by AOL, 2000. Worth
USD 160 billion, overtaking Time & Warner Brothers merger
record at USD 14 billion.
Represented old media and `new’ media , with new
sophisticated internet perceptions.
AOL empire + Time Warner cable network+ Time Inc = 130
million subscribers.
800,000 people signed up for Time Inc subscriptions
through AOL offer
Mergers & Acquisitions (M&As), Economic
Integration, Etc….
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9/11 caused plunge on company’s revenue, Securities
Commision investigation on accounting = largest annual
loss in US corporate history of US$100 billion.
Ted Turner (CNN) resignation, AOL returns to the name
“Time Warner” as “America Online” is not conducive for
global media business
New media driven by the internet will expunge traditional
advertising.
Finally… Media Globalisation:
Some Trends & Issues to consider
Political Contexts & De-regulation Trends
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Changes in the profile of the global media industry are not
just the outcome of purely operating market forces
The greater play of market forces is the result of political
actions and decisions
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Broad definition of political – both big ‘P’ and small ‘p’
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Loss of the ‘public’ (whither public service?)
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Influence and impact of new media technologies?
Uneven/Regional Developments in Global Media
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The 3 Cs: Corporation/Concentration/Conglomeration:
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the new reality/ies of ‘media globalisation’?
Thank you!
Now, let’s get on with the video….