Understanding Media Economics

Gillian Doyle is Professor of Media Economics and Director of the Centre for Cultural Policy Research (CCPR) at the University of Glasgow where she runs the MSc in Media Management programme.

This is 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 at the start of the twenty-first century.Milan TodorovicLondon Metropolitan University Gillian Doyle′s book provides 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. Whilst critical of the certainties and simplifications of economists, Doyle delivers not only a lucid overview of economic concepts like merit goods, deficit financing and economies of scope, but shows how these continue to be relevant and useful for understanding how media work. The book is alert to the disruptive effects of technology, but highlights the continuities between old and new media, and between economic certainties and media complexity. Some of the chapters could work as self-contained extracts for a seminar or specialist module (each chapter helpfully includes a list of learning outcomes), but the book perhaps works better as a single narrative, with recurrent themes and motifs. What′s refreshing about the book is Doyle′s willingness to move beyond the boundaries of media economics and forge connections with a diversity of topics, policies, practices and debates. The book is generous with its expertise, covering the basics for a non-specialist and providing up to date insights from current research for more advanced readers, intercut with interviews and examples from the industry. Throughout the book Doyle′s experience as a teacher shines through, a reminder that the virtues of good teaching - clear structure, avoiding jargon, questioning received wisdom and providing the resources for readers to form their own opinions rather than expounding one′s own - can also inspire good research.Chris BiltonCentre for Cultural Policy Studies, University of Warwick In this accessible and thoroughly up-to-date book, Gillian Doyle 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. A hugely valuable resource.Lucy KüngReuters Institute for the Study of Journalism, Oxford University, and Jonkoping University, Sweden

• Chapter 1: IntroductionWhat Is Media Economics about?Macroeconomics and MicroeconomicsThe Firm in Economic TheoryCompetitive Market StructuresMarket Structure and BehaviourWhat Is So Special About Economics of the Media?Key Economic Characteristics of the MediaEconomies of ScaleEconomies of ScopeChanging TechnologyChapter 2: Convergence and Multi-PlatformThe Vertical Supply ChainChanging Market Structures and BoundariesDigital Convergence Technological Change, Innovation and Creative DestructionMulti-PlatformA New Cornucopia?Chapter 3: Corporate Growth and Concentration StrategiesStrategic Responses to DigitizationManagerial TheoriesHorizontal ExpansionDiagonal and Conglomerate GrowthVertical ExpansionTransnational GrowthChapter 4: NetworksEconomics of Networks Broadcasting NetworksGlobal Networks in Transnational PublishingOnline Content DistributionSocial Networks and MicrobloggingThe Changing Role of Networks in Media EconomicsChapter 5: Demand: Push to PullMass to NicheUser EmpowermentSegmentation and BrandingAudience Flow ManagementMarket Failure in BroadcastingPublic Service Content ProvisionChapter 6: Economics of Content SupplyNovelty and Risk SpreadingPortfoliosRepetition and FormatsHollywood and RiskFunding Models: Cost Plus Versus Deficit FinancingWindowingChapter 7: CopyrightThe Economic Origins of CopyrightCopyright and Welfare LossesDigitisation and EnforcementGlobalisation Territoriality and Free Trade AreasCommercial Models Other Than CopyrightNon-Market Alternative Means of Incentivising CreativityAdjusting Copyright to the ′Open′ InternetChapter 8: Media and AdvertisingThe Advertising IndustryWhy Does Advertising Take place?Are Firms in Control of Their Own Markets?Informative Versus Persuasive AdvertisingAdvertising as a Barrier to Market EntryAdvertising and the Performance of the EconomyThe Rise of Internet AdvertisingThe Firm′s Advertising DecisionChapter 9: Digital Media Economics and Public PolicyFree Market Versus InterventionSupport Measures for Media ContentProtectionismConcentrated Media OwnershipPromoting CompetitionMonopolies and Technological ChangeMaximising EfficiencyPSBs and State Aid Rules