Industries: Ownership and control - blog tasks

 Industries: Ownership and control - blog tasks


Create a new blogpost called Industries: Ownership and Control. Complete the following tasks and reading exercises:  

1) What is a conglomerate in the media industries? 
The more known and large organisation that owns many other small companies.

2) What is a subsidiary?
Subsidiary are the smaller companies that are owned by the larger ones.

3) What are the benefits for media companies of vertical integration?
A benefit of a company using vertical integration could be more profit if they have complete ownership.

4) What are the benefits for media companies of horizontal integration?
Horizontal integration allows companies to widen their audience and find other ways to make money.

5) Give three examples of media companies or brands that have used synergy to maximise their profits. There are examples in the notes above to help you.
-Disney
-Apple
-Amazon

6) What is convergence and what device has changed the relationship between audiences and producers? 
Technological convergence refers to the fact we can now access all different types of media on the device. The growth of smartphones has completely changed the relationship between industries and audiences. Traditional industries like newspapers are now moving into video or online content and audiences can now create their own user-generated content. This could change relationships with producers and audiences as now audiences can make their own content and don't necessarily rely on producers to create content. 

Now read this article about Facebook’s acquisition of Instagram and answer the following questions:

7) Why did Facebook buy Instagram for $1bn? Answer in as much detail as possible

Facebook bought Instagram for £1bn because it has proven hugely popular as the firm says more than 30 million users uploading more than 5 million new pictures everyday. Instagram's FAQ says it had previously raised £7.5 million which shows Facebook how much profit and revenue they can make by investing in the company by buying it.


8) What is the name of the media billionaire who used to own Fox? 
Walt Disney.

9) List 10 companies that are part of the Disney media empire. The graphic below will help you. 
-Sky
-Hulu
-Marvel
-Pixar
-Blue sky
-ESPN
-ABC
-Lifetime
-Avatar
-Fox
10) Why did Disney buy Fox - what are the benefits? These benefits are particularly discussed towards the end of the article. 
Fox is a very large brand owned by the last batch of marvel characters that had yet to appear in MCU .Disney buying Fox allows marvel studios more creativity, control, freedom over the marvel universe on film and tv so by Disney buying fox they can make better films and movies as there is more freedom and control which would then lead to more people being intrigued to the better movies etc so that would benefit Disney by attracting more audiences due to better work.

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