3. The BIG 6
The Big 6 is major film studios operated and based in and around Hollywood. They
own companies such as Warner Bros. Pictures, Paramount Pictures, 20th Century Fox,
Walt Disney Pictures/Touchstone Pictures, Columbia Pictures, Universal Picture. These
make them corporations and they are fundamentally in control of the worlds film
industry via Hollywood domination.
4. The consequences of the big 6 companies being in control of Hollywood is that they could be
shut down for various reasons such as releasing films to living rooms just 2 months after release
in the cinema. This can cause fines and fires to the big 6 companies that are involved.
5. Horizontal Integration is a type of ownership that increases your market share by taking over a similar company. This take
over can be done in other countries to increase your reach.
Example of Horizontal Integration, The Walt Disney Company bought out Pixar and with Pixar’s hit features ‘Toy Story 1 and
2’, ‘Finding Nemo’ and ‘The Incredibles.’ Disney distributed them.
The following Buena
Vista Brands have
been retired or
renamed to a Disney
or ABC name, in
accordance to the
company's branding
strategy.
6. Vertical Integration
Vertical Integration is the process in which several
steps in the production and/or distribution of a product or
service are controlled by a single company, in order to
increase that company’s power in the marketplace.
There is three types of vertical integration, backwards,
forwards and balanced integration.
Disney created value mainly through “vertical integration” of
its business lines, especially through the concept of forward
integration. For example Disney production of movies and
the final distribution in cinema’s or on television, especially
through its acquisition of ABC in 1995. Through
this acquisition, Disney was able to extent its boundaries
quickly and gain access to a wider level of distribution for
Its products.
8. OWNDERSHIP IN TV AND FILM
INDUSTRIES
Public service broadcasting consists of television programmes supplied by an official or
government organization, rather than by a commercial company. Such programmes often
provide information or education, as well as entertainment.
Commercial is a sponsored or paid for by an advertiser.
For example the BBC is a public service, this is a channel which does not allow incorporate
commercials advertised.
Channel 5 for example convey a message and their revenue is normally fund privately owned
television networks.
9. Sponsorship is a financial support given by a sponsor. For example coronation street is
sponsored by harveys, and x factor is sponsored by talk talk. All these sponsorships are down to
product placement being the most important nowadays due to the fact that advertising is
threatened and losing revenue due to changes in technology meaning we watch less adverts.
10. BRITISH FILM INDUSTRY
If the British funding collapses the UK film industry will make a massive increase in producing
films and have a bigger budget then the had before, and also take over the whole of film.
However with so many small companies in the British film industry, Hollywood will also try to
dominant the smaller companies which will then eventually be one of the Hollywoods
productions.