Ownership and funding

Public service broadcasting is TV programmes that are not created for the purpose of making money but more concentrated on the viewers satisfaction. Programmes that cover creative and artistic topics, news and religion are some examples of public service broadcasting. One example of a a British public server broadcaster is the BBC as it is funded and operates through a yearly licence fee. Viewers pay an annual fee of £131.50 as enforced by the government. As they are funded through the public there are no advertisements and they focus on benefitting the public providing them with programmes rich in media, culture, sport and art.


Commercial broadcasting, otherwise known as private broadcasting, refers to the broadcasting of different media outlets owned by corporate media and usually funded by the revenue made through advertising. This type of broadcasting is free to the general public and differ to public service broadcasting due to them operating mainly on profit. Itv is one example of commercial broadcasting as it's free to the public and does include advertisements. As stated on the Itv website they operate 'the largest commercial 
family of channels in the UK.'


Corporate and private ownership is where the channels programmes are produced and distributed by big corporations.Like commercial broadcasting, corporate ownership doesn't concentrate on the public interest and is more concerned with making money. They also usually aim their channels to certain audiences. An example of this is MTV as its owned by Viacom Media Network and it's aimed mainly at 16-24 year olds. The good thing about private ownership is that they operate on funds from advertising and the more popular the show and channels, the more money companies have to pay for them to advertise their products.

Global ownership refers to companies or individuals that trade and distribute all around the world. The global market is mostly dominated by western based companies.One example of global ownership is The Walt Disney company which is a world wide media franchise with many media networks, parks and resorts, studio entertainment and consumer products. Based in Burbank, California the company has connections with more than 40 countries around the world. 




Vertical integration refers to the process where some steps in the production and distributions is controlled by one company so to increase their power but then the company/ business integrates with another at different stages of the production. One example of this is Warn Bros for the movie franchise Harry Potter. They used vertical integration to maxamise earnings in Harry Potter and the Deathly Hallows: Part Two. The movie was created by Warn Bros pictures and was in corporation with Heyday Films. It was then distributed by Warner Bros and marketed by several different Time Warner companies. When it came to exhibiting they used their international cinema chain and give HBO rights to show the film. 


Horizontal integration is when a a production company integrates with another at the same stage of production in order to increase the production or services. Companies can do this by expanding into other sectors of the industry. This creates a monopoly effect where a company has control over a service that they have a lot of control over competition. An example of this is  Rupert Murdoch as he bought various media outlets starting with The Adelaide newspaper company News Ltd and then moved on to dominating the British market. 

In the UK households that view or record any live broadcasting have to have a television license. A television licence is an official record of a payment for a fee required from any household accessing live broadcasting. There is annual fee of £135.50 but a different fee for the elderly and the blind. Channels that require a licence fee do not have advertisements. The BBC is one example on a channel that has requires a TV licence.


Subscription funding is where people sign up for to a payment plan to access a service. Examples of this are Netflix, Amazon Prime, Now TV and Love film. Netflix is a global server that streaming films and TV shows for a monthly fee. Another form of funding is a one of payment. This is where you pay a one off fee for a and receive the product straight away. An example of this is on Sky you can buy new films for a one off payment.

Pay per view is where you can pay to watch an event on TV. The event will show at the same time as everyone else watching it unlike on demand. It's most common for sporting events such boxing matches. This can be done through companies such as Sky where you can pay for and access the broadcasting of the event once. .

Sponsorship funding is where companies pay other companies to advertise their product at the end or beginning of a TV show or film. For example at the beginning of Holloaks there is a small advert for Dominos takeaway. Advertising is used to promote a product or service. It is a way of marketing a product and showing or service is worth buying. It is usually done in the form of a TV advert, billboards, radio adverts etc. 

Product placement is where a company pays for their product to appear in a TV show or film for the purpose of good exposure and promoting. An example of this is in Lady Gaga's music video for her song telephone has at least four different product placements in such as Coca Cola, Polaroid, Miracle Whip and Virgin Mobile.

Private capital funding is the source of funding with the least risk due to the tax incentives put in place when financing the film meaning the cost of the film is refunded to the investor. The investors fund the film and make back the money they put in. However the investors have to make an unfunded commitment to begin with, meaning the risk could be seen as high all depending on the success of the film over a period of time. Private investors are people who fund a film on their own without business partners etc. Megan Ellison is one example of a private investor. She put her own money into films such as Zero Dark Thirty and Catch.44. She is also a film producer and helped produce as well as funding some films including the award winning American Hustle

Crowd funding is an alternative form of finance which has occurred outside the traditional funding system. It is where money is raised from contributions from mail-order subscriptions and benefit events but today it's usually done through internet-mediated registries. An example of this is the film Veronica Mars. The writer Rob Thomas raised $5.7 million from 91, 585 backers through crowd funding.

Development funding is a funding programme for producers and filmmakers to support creating new project.They fund several stages of a production including the pre-production process. An example of this is the BFI as it promotes film making by encouraging the education and accessibility of films. 









Bibliography

http://ask.ofcom.org.uk/help/television/what_is_psb

http://newsimg.bbc.co.uk/media/images/44277000/gif/_44277937_donations_to_lab_203pie
.gif 
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http://www.acma.gov.au/Citizen/Consumer-info/Broadcasting-in-my-area/Lists-of-broadcasters/about-commercial-broadcasters

http://www.itvplc.com/about/what-we-do


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