APPLIES TO ACADEMIC YEAR 2014/2015

ELE 3718 Media Economics

Responsible for the course
Mona K Solvoll

Department
Department of Communication and Culture

Term
According to study plan

ECTS Credits
7,5

Language of instruction
English

Introduction
This course deals with topics related to marketing, market communication, public relations, business and management.

Please note
This course has some overlapping issues with the elective courses ELE 3755 Mediasociology and mediaeconomy (7,5 credits). Consequently a combination of theese courses can not be approved in a Bachelor's degree.

Learning outcome
Acquired Knowledge
Students shall develop a basic understanding of how the media industry is organized, its business practices, operations, content and technology and policy regulation. Furthermore students will acquire an industry- perspective on both traditional media sectors as well as the digital media.

Acquired Skills
Students shall be able to describe and explain the debates between different economic theories on current media issues as well as the major economic changes that have taken place. They shall be able to apply interpretations of research and economic theories in explaining media opportunities and risks for business enterprises as well as regards marketing and public relations.

Reflection
The students shall develop an understanding of the key mechanisms in media economics and in an ethical perspective make a judgement of how these influence the media market and the media output.

Prerequisites
None

Compulsory reading
Books:
Doyle, Gillian. 2013. Understanding media economics. 2nd ed. Sage. 232 pages

Articles:
Online articles available from databases at the BI library:
Picard, R. 2005: Unique Characteristics and Business Dynamics of Media Products. Journal of Media Business Studies, 2(2), 61-69.9 pages, available from http://www.jombpagecom/articles/2005224.pdf
Bakker, Piet. 2002: Free Daily Newspapers – Business models and strategies (8 pages). Available from http://www.newspaperinnovation.com/overview/files/JMM_4_3_Bakker.pdf
Picard, van der Wurff and Piet Bakker (2008): Economic Growth and Advertising Expenditures in different countries, 25 pages, available from http://www.robertpicard.net/files/econgrowthandadvertising.pdf
Johnsen, Hallvard og Mona Solvoll. 2007. Demand for television sport. European Sport Management Quarterly. 4:7. 311-335, 24 pages.
Available from databases at the BI library.
Eisenmann et al. (2006): Strategies for two- sided markets, Harward Business Review, 11 pages.

Other:

Articles/ chapters available as e-books:.
Doyle, Gillian. 2002: Media Ownership. Available from http://site.ebrary.com/lib/bilibrary/home.action and as google book http://books.google.com/books/about/Media_ownership.html?id=p8iNIUlAPDMC
- Chapter 2 Media Concentrations and pluralism, page 11-30, 19 pages,
- Chapter 3 Industrial and Economic Policy Aims, page 30- 43, 13 pages
Albarran, Alan B.,Chan-Olmsted, Sylvia M. and Wirth, Michael O. 2006. Handbook of media management and economics. Available from http://www.dawsonera.com/depp/reader/protected/external/AbstractView/S9781410615589
- Chapter 14 page 297-324; 17 pages, industry- specific management issues
- Chapter 15 page 325- 345; 20 pages, Issues in market structures
- Chapter. 22 page 493- 523; 30 pages, Issues in political economy and
- Chapter 20 page 445-463; 18 pages, Issues in convergence

Collection of articles in compendium. Handelshøyskolen BI. (144 pages).
Shapiro and Varian.2000: Information Rules - a strategic guide to the Network Economy
- Chapter 3 Versioning Information, page 57-84, 28 pages
- Chapter 7 Networks and Positive Feedback, page 173-225, 53 pages
Caves, Richard E. 2000: Creative Industries: Contracts between Art and Commerce, Harvard University Press
- Introduction, 17 pages
- Chapter 8 The Nurture of Ten-Ton Turkeys, page 136- 145, 10 pages
Gaustad, Terje. 2002: The Problem of Excludability for Media and Entertainment Products in New Electronic Market Channels. Electronic Markets, volume 12, issue 4, 5 pages
Vogel, Harold L. 2011: Entertainment Industry Economics: A Guide for Financial Analysis (7th Edition), Cambridge University Press
- Chapter 1 Economic Perspective, 19 pages
- Chapter 2 Basic Elements, 12 pages


Recommended reading
Books:
Albarran, Alan B. 2010. The media economy. Routledge. 200

Course outline

• Introduction to media economics - key characteristics of the media (Macro- and microeconomics, the firm, competitive market structures)
• Public goods versus private goods (Business models for television (PSB, commercial, Pay per view) and news production (online and print))
• Old and new supply chains in media – co-production with customers (Growth strategies, convergence, expansion and integration, produsage in content-driven media)
• Economics of media firms - “a market point of view” or “a social policy point of view” (The advertising industry, public policy and consumer choices)
• Characteristics of major media sectors (Television, print and internet)
• Digital media economics (Business models, transaction cost theory, windowing, rights)
• The global media economics – when Mecom came to Norway (Media ownership, media houses, technological and cultural constrains and opportunities)