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Unit 7: Understanding the Creative Media Sector

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shannon smith

on 7 June 2013

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Transcript of Unit 7: Understanding the Creative Media Sector

private ownership
and public service media. Understanding the Creative Media Sector-
BBC The BBC is a public service broadcaster.

The British Broadcasting Company was formed in 1922 by a group of wireless manufacturers.

The BBC's work is funded in the UK by an annual television licence fee, which is charged to all British households or companies using any type of equipment to record or receive live television broadcasts. Multinationals, Independents, Conglomerates, Voluntary and Cross-media BBC World Service is an international multimedia broadcaster, showing a wide range of language and regional services on radio, TV, online and via wireless hand held devices.

It uses a multiple platform to reach its weekly audience of 166 million globally.

BBC World News is available in more than 200 countries and territories worldwide around 300 million households and 1.8 million hotels.

The BBC own a number of different company's such as television, radio, publishing , movies and the internet. vertical and horizontal integration The BBC make Vertical integration by making programmes for Radio, TV and Online then distributes and broadcasts them.

The BBC also does Horizontal integration by making Radio shows, TV, Online and all other digital broadcasting. Product diversity share of ownership The BBC is a semi-autonomous public service broadcaster that operates under a Royal Charter and a lience agreement from the Home Secretary.

The level of fee is set annually by the British Government and agreed by Parliament.

100% publicly owned by The Crown (taxpayers in UK) mergers and takeovers Cross-Media regulation Ofcom has certain powers to regulate the BBC's licence fee funded television and radio services aimed at audiences in the UK. Ofcom broadcasting code applies in the following areas:

protection of under 18's.
Harm and Offense.
Avoidance of inciting crime or disorder.
Responsible approach to religious content.
Prohibition of use of images of very brief duration.

Ofcom also regulates the BBCs internet use to make sure they protect all their copyrighted stuff also to make sure they let off no ilegal content off to the public. Sources of income The BBC is authorized by the Communications Act 2003 to collect the license fees. The money received is first paid into the Government's Consolidated Fund.The license fee is classified as a tax and evasion is a criminal offense. Since 1991, collection and enforcement of the license fee is the responsibility of the BBC in its role as TV Licensing Authority. The license fee can be paid annually, monthly or quarterly by Direct Debit, or monthly or weekly with a cash payment plan, which was introduced for those with limited means or no bank account, and replaced a previous scheme using trading stamps.

The BBC not only collect the license fee they earn money on there worldwide shows, internet site also selling products such a shows to different companies. Diversity action plans which each BBC division is required to develop and are listed below.

We report progress against our plans on a quarterly basis to the Diversity Board which is made up of each of the divisional directors and chaired by the Director-General.
We will report annually to the Trust on progress we make against our strategy. More here. Profitability of product range Product profitability, simply defined, is the difference between the revenues earned from, and the total costs associated with, a product over a specified period of time. Performance against financial
concerns Pressure on household budgets in the UK poses a continuing challenge for licence fee collection.
We have held evasion at 5% for a number of years now through targeted collection and helping licence fee payers find their most suitable method of payment.
Difficult trading conditions in some markets have put pressure on the BBC's commercial operations, mitigated to some extent by successes in new markets significant inflationary pressures have to be managed through the delivery of efficiency.
BBC World Service has seen reductions to its grant-in-aid funding in line with the rest of the public sector
The low returns available on the world's financial markets place significant pressure Organisational objectives The BBCs mission, vision, and values inform the work of the BBC and are how we promote our public purposes.The public purposes are set out by the Royal Charter and Agreement, the constitutional basis for the BBC.
Our mission to enrich people's lives with programmes and services that inform, educate and entertain. Our vision to be the most creative organisation in the world. The BBCs vaules:
Trust is the foundation of the BBC: we are independent, impartial and honest.
Audiences are at the heart of everything we do.
We take pride in delivering quality and value for money.
Creativity is the lifeblood of our organisation.
We respect each other and celebrate our diversity so that everyone can give their best.
We are one BBC: great things happen when we work together. Licenses and franchises The BBC operates under a Royal Charter,with the current Charter having come into effect on 1 January 2007 and running until 31 December 2016.
The Royal Charter is reviewed every 10 years.
The 2007 Charter specifies that the mission of the Corporation is to "inform, educate and entertain". It states that the Corporation exists to serve the public interest and to promote its public purposes: sustaining citizenship and civil society, promoting education and learning, stimulating creativity and cultural excellence, representing the UK, its nations, regions and communities, bringing the UK to the world and the world to the UK, helping to deliver to the public the benefit of emerging communications technologies and services, and taking a leading role in the switchover to digital television. Competitors The BBCs competitors:
TV: analogue, digital, internet ITV, SKY, VIRGIN, BT, FREESAT
Terrestrial: BBC1, 2, 3 vs ITV, C4, C5
Cable & satellite: SKY, Virgin
Global: BBC News, BBC Worldwide, iPlayer Customers The BBC get many types of viewers from having UK based programmes then having local viewers, regional , national and international.
The BBC broadcast shows outside of the UK which makes some of the customers international viewers.

BBC World Service is an international multimedia broadcaster, delivering a wide range of language and regional services on radio, TV, online and via wireless handheld devices. It uses multiple platforms to reach its weekly audience of 166 million globally, including shortwave, AM, FM, digital satellite and cable channels. National and global competition
and trends Internet : web services up hugely (Web 2.0 3.0)
Analogue TV & radio : on way out
Digital TV & radio : up The BBC genenrally do not use mergers and takeovers. They are very similar corporate actions - they combine two previously separate firms into a single legal entity.
BBC Worldwide is the commercial arm of the BBC and it does get involved in mergers and joint ventures.

The BBC Trust has approved a new strategy for BBC Worldwide that will see it focus its attention more firmly overseas.
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