Tuesday, 8 November 2016

Section 1- unit 1- Horizontal and Vertical integration

Horizontal Integration

  • A production company expands into other areas of one industry. It is shared across.
  • The company can develop in a particular area of production or they can buy out another company that deals with these areas.
  • Example- Casino Royale: Casino Royale was mostly made by Sony. Sony owns companies such as Columbia pictures, however other companies were involved in the production such as Eon Productions (production) and MGM (production and distribution). This means that Casino Royale used horizontal integration because it expanded into other companies during the making of the film.

Vertical Integration

  • The production company has complete ownership of the production, distribution and exhibition of the film. It is all passed down. They receive all of the profit- Brand identity.

EXAMPLE - Walt Disney Studios Motion Pictures
Walt Disney Productions

Walt Disney Studios

Walt Disney Distribution (Buena Vista)

       Walt Disney DVD/Bluray                 Walt Disney Toy Store                             Disney Land

1 comment:

  1. This is the last post connected to Section 1. What you've completed so far looks good, but from looking through your blog there are some posts missing:

    • A piece of work on Independent vs conglomerate

    • Looking at News International vs Mirror Group

    • Televisual (http://www.televisual.com/blog-detail/The-UKs-top-100-TV-production-companies_bid-380.html) has a breakdown of the top 100 independent TV production companies in the UK that may be useful as a starting point for this task.
    For each company find:
    1. Evidence that it is an independent company OR evidence that it is a conglomerate company (i.e. what are its subsidiaries? cross media ownership examples?).
    2. Example of synergy.
    3. Examples of joint ventures.
    What are the similarities and differences between their chosen companies?

    • Notes on the ownership PowerPoint. How does ownership impact the product? Objectives, purpose, audience, budget

    • Job roles
    The Prospects website (http://www.prospects.ac.uk/) could be a useful starting point for learners to further investigate the requirements and responsibilities of the job roles to add to the above starter/ group task and present their findings to the group.

    • Production processes magazines, newspapers, radio, film, TV and website

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