"Expertly synthesizes economic theory and contemporary cases to both explain the structure of the contemporary media industry and shed insight on the significant challenges and controversies confronting the sector."
- Lucy Küng, Oxford University and Jonkoping University
"A wide-ranging, accessible introduction to media economics and their application to a broad range of media topics from advertising and business models to copyright, audience demand and public policy."
- Chris Bilton, University of Warwick
"An excellent textbook on media economics, which takes into account the full complexity of the subject matter in the context of structural, technological and creative transformations that characterise digital media."
- Milan Todorovic, London Metropolitan University
With the rapidly evolving digital media landscape, this second and completely revised edition of Understanding Media Economics moves beyond a sector-specific approach to media analysis, and instead focuses on the issues and imperatives that are now central to how economic forces impact on the media industries.
Exploring themes such as innovation, digital multi-platform developments, the emerging importance of networks, branding and segmentation of market demand, strategies of risk-spreading, maximizing value within content, intermediation and rights management, corporate expansion and advertising, this book addresses and explains the key pressing questions and issues that are transforming contemporary media industries and markets.
Gillian Doyle makes the economics of the media fascinating, compelling and easy to understand. This is essential reading for students of media economics, media management, media policy and courses across the cultural and creative industries.
Chapter 1: Introduction
What Is Media Economics about?
Macroeconomics and Microeconomics
The Firm in Economic Theory
Competitive Market Structures
Market Structure and Behaviour
What Is So Special About Economics of the Media?
Key Economic Characteristics of the Media
Economies of Scale
Economies of Scope
Changing Technology
Chapter 2: Convergence and Multi-Platform
The Vertical Supply Chain
Changing Market Structures and Boundaries
Digital Convergence
Technological Change, Innovation and Creative Destruction
Multi-Platform
A New Cornucopia?
Chapter 3: Corporate Growth and Concentration Strategies
Strategic Responses to Digitization
Managerial Theories
Horizontal Expansion
Diagonal and Conglomerate Growth
Vertical Expansion
Transnational Growth
Chapter 4: Networks
Economics of Networks
Broadcasting Networks
Global Networks in Transnational Publishing
Online Content Distribution
Social Networks and Microblogging
The Changing Role of Networks in Media Economics
Chapter 5: Demand: Push to Pull
Mass to Niche
User Empowerment
Segmentation and Branding
Audience Flow Management
Market Failure in Broadcasting
Public Service Content Provision
Chapter 6: Economics of Content Supply
Novelty and Risk Spreading
Portfolios
Repetition and Formats
Hollywood and Risk
Funding Models: Cost Plus Versus Deficit Financing
Windowing
Chapter 7: Copyright
The Economic Origins of Copyright
Copyright and Welfare Losses
Digitisation and Enforcement
Globalisation
Territoriality and Free Trade Areas
Commercial Models Other Than Copyright
Non-Market Alternative Means of Incentivising Creativity
Adjusting Copyright to the 'Open' Internet
Chapter 8: Media and Advertising
The Advertising Industry
Why Does Advertising Take place?
Are Firms in Control of Their Own Markets?
Informative Versus Persuasive Advertising
Advertising as a Barrier to Market Entry
Advertising and the Performance of the Economy
The Rise of Internet Advertising
The Firm's Advertising Decision
Chapter 9: Digital Media Economics and Public Policy
Free Market Versus Intervention
Support Measures for Media Content
Protectionism
Concentrated Media Ownership
Promoting Competition
Monopolies and Technological Change
Maximising Efficiency
PSBs and State Aid Rules
