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CMNS 230 (8)

W2 Reading Notes Havens & Lotz.docx

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Simon Fraser University
CMNS 230
David Newman

WEEK 2 Media Industry Mandates Havens & Lotz, 2012, p. 27-45 2 • Clash among users, commercial providers, and city governments over 8 municipal broadband demonstrates the challenge of determining the mandate for any particular media industry, as well as the different outcomes that each mandate encourages • Public mandates: effective at serving public needs, particularly those unrelated to business activities and consumption, cost money and need to be supported by individual or corporate taxes (controversial), • Commercial mandates: do not require tax money, serve certain needs (businesses and affluent individuals/groups) particularly well • mandates shape the operation of media industries: whether and how segments of the public are served, what kind of content is produced, how the industry is organized (monopoly, oligopoly, competitive), the role the industry plays in business and civic life 2 • the mandate encompasses the purpose of the media industry 9 • mandates are flexible (e.g. radio started as point-to-point medium and developed into mass medium -> mandate changed) 3 • mandates are unnatural (e.g. US and UK dealt differently with radio situation) 0 • media outlets can have multiple mandates, although one is typically primary • each mandate is merely a characteristic type • certain media industries (particularly broadcasting) are more influenced by mandates than others (-> most noncommercial mandates ar broadcast media) 3 WHAT ARE COMMON MANDATES? 1 • Three questions 1. Who pays for media? 2. Whom does it serve? 3. What determines “success"? Commercial Media • Who pays for it? o The consumer  Advertising: consumers pay inflated prices for goods to cover advertising expenses  Blend of advertising and payment (e.g. newspapers, magazines)  Payment only (e.g. movie tickets, albums/songs, print/television media w/o advertising)  Monthly fees for services (e.g. mobile phone, internet) 3 • Whom does it serve? 2 o Those most likely to make them most profitable o Dual product markets: two layers of sales; company sells content/products to the consumer, and sells the audience gathered to advertisers; designed to reach a particular demographic because advertisers desire certain types of consumers • What determines success? Profits 3 No medium operates as a perfect free market, governments always impose 3 some regulation in order to obtain various pro-social goals and expectations Noncommercial Media Public Mandate Media • Who pays? o You, through taxes, e.g. UK government collects money and then allocates it to BBC • Whom does it serve? o The citizenry (those who pay for it) o Citizens have many different interests -> makes mandate challenging 3 o Cannot meet all needs of all citizens all the time, but meet the needs 4 of many different groups at some point in a program, day, week, year
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