Media Ownership in Contemporary Media Practice The Issues Raised by Media Ownership in Contemporary Media Practice

KEY TERMS Majors Mini Majors Media Conglomerate Subsidiaries Vertical Integration Horizontal Integration Definition: How the ownership of the production, distribution and exhibition companies affects the type of films that are made. Issues: Production/Distribution/Marketing/Exchange raised by Media Ownership: Majors/Independents in Contemporary Media Practice: Film/Warner Bros

TASK: On your tables, brainstorm as many film companies as you can think of (both major and independent)

Film: Media Ownership In you exam, you will need to discuss: Mainstream Hollywood Cinema (Majors) How their ownership affects the way they produce, distribute, market and exhibit their films. Independent Cinema (Indies) Media Ownership, within the film industry, refers to how GREATER FINANCES can enhance the different levels of an institutions construction & selling of a film.

Film: The Majors A major film studio refers to: A movie production and distribution company that releases a substantial number of films annually. A company that consistently commands a significant share of box-office revenues in a given market. In the Western market, there are six film studios that make up 90% of the US box office revenue. They are known as ‘The Majors’ or ‘The Big Six’. The "Big Six” operate in & around Hollywood, & are centered in Film Studios that were active in Hollywood's 1930’s & 40’s Golden Age of cinema.

Today’s ‘Big Six’ Majors TASK: Today’s ‘Big Six’ Majors ? ? ? ? ? ? Question: Name all six film studios in Hollywood known as ‘The Majors’?

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Film: Mini Majors Aside from The Majors’, there are also a set of independent producers/distributors who perform very well financially in the film industry, they are often referred to as ‘Mini Majors’.

The History of The Walt Disney Company TASK: The History of The Walt Disney Company VIDEO QUESTION: Discuss the growth of Walt Disney and how it may benefit a Disney films release?

Film: Media Conglomerate These Major studios come under six diversified media conglomerates whose various movie production & distribution subsidiaries command the Hollywood market. A conglomerate is a large company that consists of divisions of seemingly unrelated businesses. It will be involved in a diversity of other businesses aside from the film industry. A media conglomerate describes companies that own large numbers of companies in various mass media such as television, radio, publishing, movies, and the Internet.

Film: Subsidiary Companies In order to cash in on the present day boom in independent film, the big six also include: Formerly independent companies that have been acquired & brought in under the corporate umbrella. Created independent companies, that have been designed to develop less commercial, character driven films appealing to the Art House market. The ‘Majors’ are primarily backers & distributors of films. They mainly focus on development & finance. Actual production is largely handled by these independent companies. For example: Warner Bros & New Line Cinema - Paramount & Paramount Vantage - Disney & Pixar - Universal & Working Title .

The Walt Disney Company Distribution TASK: The Walt Disney Company Distribution VIDEO QUESTION: How does Disney use their many different outlets to help a film be released/advertised?

Publishing + Parks & Resorts TASK: FILM TV/Radio Publishing + Parks & Resorts Consumer Product TABLE 2 TABLE 1 TABLE 4 TABLE 3

Catch Up Questions Name the ‘BIG SIX’?

What is a Media CONGLOMERATE? Catch Up Questions What is a Media CONGLOMERATE?

Who is Disney's CONGLOMERATE? Catch Up Questions Who is Disney's CONGLOMERATE?

What are SUBSIDIARY companies? Catch Up Questions What are SUBSIDIARY companies?

Name some of Disney’s SUBSIDIARY companies? Catch Up Questions Name some of Disney’s SUBSIDIARY companies?

TASK: CREATE YOUR OWN WALT DISNEY COMPANY CONGLOMERATE STRUCTURE (COVER ALL BUSINESS)

Horizontal & Vertical Integration Film: Horizontal & Vertical Integration Often a single parent company will own multiple companies in the film industry. HORIZONTAL The parent company owns multiple subsidiary companies at the same stage of the film industry. VERTICAL The parent company owns multiple subsidiary companies across different stages of the film industry. Question: What are the advantages for a parent company of each type of ownership? PRODUCTION MARKETING MARKETING MARKETING For example The Walt Disney Company owns: Marvel Studios Productions (Production) Walt Disney (Distribution) Disney Land Park resorts, Disney Publishing, Disney Home Entertainment DISTRIBUTION EXHIBITION

Warner Bros. Pictures is the number 1 biggest player in the film industry. Securing the rights to major films like: Harry Potter Superman Batman The Matrix Star Wars Conglomerate: Time Warner Parent Division: Warner Bros: Entertainment Group, HBO Major Studio Subsidiary: Warner Bros: Pictures Other Mainstream/Art House Subsidiaries: New Line Cinema, HBO Films, Castle Rock Entertainment, Warner Bros: Animation

Mission Impossible Series Paramount Pictures continues to be one of the most successful film production companies in the world. Securing the rights to major films like: Star Trek War of the Worlds Mission Impossible Series Transformers Tropic Thunder Conglomerate: Viacom Parent Division: Paramount Motion Pictures Group Major Studio Subsidiary: Paramount Pictures Other Mainstream/Art House Subsidiaries: Nickelodeon Movies, MTV Films, Paramount Vantage

Columbia Pictures remains a big player in the business Columbia Pictures remains a big player in the business. Some of this company's recent successes include: James Bond Series The Da Vinci Code 21 Jump Street Conglomerate: Sony Parent Division: Sony Pictures Major Studio Subsidiary: Columbia Pictures Other Mainstream/Art House Subsidiaries: Sony Pictures Animation, Sony Pictures Classics

The American Pie Series Universal Studios know what it takes to make money in this industry, and this is demonstrated through major hits like: The Bourne Series The American Pie Series Knocked Up American Gangster Conglomerate: General Electric/Vivendi Parent Division: NBC Universal Major Studio Subsidiary: Universal Studios Other Mainstream/Art House Subsidiaries: Universal Animation Studios, Focus Features, Working Title

Star Wars Episodes II & III, Some of the biggest and most successful movies from Rupert Murdoch’s empire include: Mr. and Mrs. Smith Star Wars Episodes II & III, Taken Series Planet of the Apes Conglomerate: News Corporation Parent Division: Fox Filmed Entertainment Major Studio Subsidiary: 20th Century Fox Other Mainstream/Art House Subsidiaries: 20th Century Fox Animation, New Regency, Fox Searchlight

TASK: In groups note down the advantages and disadvantages of Avengers Assemble/Attack the Block being produced/not produced by a media conglomerate, such as Disney TABLES 3 + 4 TABLES 1 + 2

Individually, answer the following past exam question supplied by OCR TASK: Individually, answer the following past exam question supplied by OCR “Discuss the issues raised by media ownership in the production & exchange of media texts in your chosen media area”.

Film: Overview KEY POINTS: WHAT YOU NEED TO CONSIDER: The film industry is dominated by major Hollywood studios. These Majors are hugely financially successful & have millions to spend on their movies (Budget). Something independent institutions do not have. Major studios own companies (Subsidiaries) that cover all aspects of the filmmaking process. They can therefore spend a large amount of money not only on production, but also the distribution & marketing of a film. These giant institutions are able to use their size and ownership of a wide range of media to cross promote their films (& other media) across their wide media empires. The synergies of cross-promoting that can be created by these media organisations is astonishing. WHAT YOU NEED TO CONSIDER: What is the affect of media ownership on the British film industry, Independent filmmakers & of course the Major Film Studios? How can indies survive in the British market against the high concept, big-budget films? What kinds of niche audiences are left for indies to attract? Are mass audiences out of reach for indies, given their genres & budgets? How successful have indies been in reaching mass audiences with their films? How healthy is it that just a few mega media groups can own such a range of media?