|
Globalization
of Mass Media?
Metzger-Conway Fellow
Presentation
Dickinson College
Clarke Center for Interdisciplinary Studies
October 21, 1999
Globalization of Mass Media?
What does this mean? What
could I talk about?
 |
Culture Dynamics |
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Technologies |
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Political/Regulatory Issues |
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Economics |
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All the above |
What does the Global Village Mean?
"Think Globally,
Drink Locally"
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Balkanizing or Globalizing?
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Technology cuts both ways |
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Countervailing Forces and Trends
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Threats and opportunities |
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Positives and negatives |
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Winners and losers |
Globalization or
Fractionalization?
Conflicting trends:
Global: Mergers among international media companies:
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Sony buys Columbia Pictures |
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Seagrams buys MCA, Polygram |
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Reed-Elsevier buys Lexis/Nexis |
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Bertelsmann buys Random House |
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News Corp. buys…everything |
Globalization or Fractionalization?
Global Village
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Satellite TV signals across borders |
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CNN in S.A. Japan, Russia |
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Internet |
Globalization or Fractionalization?
Fragmentation: Technology
cuts two ways
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Multiplicity of magazines, newsletters |
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Web sites by new players |
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Programming sources via satellite
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Demise of sharing 3 networks |
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Every language, interest, culture can find "their own
kind" globally |
Macro Trends for Globalization
Economics Promote Bigness
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Network economics |
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Media as "public good" |
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Internet improves economics of print |
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Reduces Risk |
Macro Trends for Globalization
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Regional integration of national economies |
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EU, NAFTA, MERCOSUR |
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Advances in technology |
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More pragmatic world, less ideological |
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Borderless economies, like it or not |
Forces Opposing Global
Conglomerates
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Fears of political leaders, cultural elites |
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Cultural and linguistic barriers |
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Know-how not easily exported |
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Lower entry barriers |
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Does anyone have enough $$ to dominate? |
Globalized or
Balkanized?
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Content vs. Distribution
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vertical and horizontal combinations |
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Economies of Scale and Scope |
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Information Technologies |
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Regulation vs Marketplace |
Opportunities Vary by Content,
Process
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Content: creative/productive sector
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publishers, TV/film producers, records |
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Process: marketing/distribution sectors
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book sellers, movie theaters, cable operators |
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Where will combinations come from?
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C/P makes less sense than M/D combination
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but not what is happening (Disney/ABC) |
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Major Global Players
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News Corp. |
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Bertelsmann |
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Hearst |
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Hachette |
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Reed-Elsevier |
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Thomson |
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Viacom |
Of 15 Largest
Media Companies, 1997 and 1986
Not U.S. Based
| 1986 |
1997 |
| None |
Bertelsmann --
Germany Sony -- Japan
News Corp -- Australia
Thomson -- Canada
Seagram -- Canada
Polygram -- Netherlands
Reed Elsevier -- U.K., Netherlands
Reuters -- U.K. |
Global or Fraction? Online Newspapers: 1997, 1999
Reality of New Media Mix
|
The Shawshank Redemption Case Study |
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poor theatrical release |
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broadcast TV publicity at Academy Awards |
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cable’s TNT promoted heavily |
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Internet: Dozen "Shawshankmania" Web sites |
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Became top video rental of 1995 |
Reality of New Media Mix
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Erikson, Gardens of the Moon |
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Published Spring ‘99: Bertelsmann UK sells 5,000 |
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Summer ‘99: Rave reviews at Internet sites |
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Fall ‘99: Bertelsmann unit offers $1.2 million deal |
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Canadian author, British unit of US company with German parent,
stimulated by global Internet |
Rupert Murdoch: bad guy or good guy?
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Created 4th TV Network |
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Funded new all-news network |
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Bankrolled DBS for 3rd world audiences |
So, What Do We Know?
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Continued global mergers and expansion |
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with its pluses, minuses |
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Internet and wireless lower entry costs for small players |
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Creates more real competition in U.S. and globally |
Copyright © 1999, Benjamin M. Compaine. For nonprofit, educational
use only. Any commercial use, copying or reproduction in any form, mechanical or digital,
requires explicit written permission. Thank you.
10/28/99 |
