Cultural Industries Theory💡

Question 1

Who created the Cultural Industries Theory?

Answer 1

David Hesmondhalgh.

Question 2

What does Hesmondhalgh think about media industries and companies?

Answer 2

Hesmondhalgh argues media industries and companies need to minimize risk and maximize audiences to become successful.

Question 3

What are the 5 ways Hesmondhalgh thinks companies can minimize risk and maximise profit?

Answer 3

1. Ensure your company is vertically or horizontally integrated. This is a good way of ensuring your company has lots of resources and power so that they can beat their competition.
2. Take advantage of technology and work across a variety of media platforms. If you diversify your products across other pieces of technology, your products get seen more.
3. Take advantage and focus on popular genres, formats, stars, and trends. Look at what is successful and what makes the most profit.
   An example of this is taking an existing franchise (Fast & Furious), and creating it into a sequel (Fast & Furious 1,2,3,4,5,6,7)
4. Controlling the release schedule of your product.
   Some companies might release their products in multiple countries at the same time, which will minimize the risk of your product being pirated, so you’d lose profit from other countries.
   However, sometimes they hold back the product to make the audience really want it (suspense). Makes it seem like an exclusive or limited-edition product.
5. You can make a lot of profit by having a detailed marketing campaign. For example, websites, social media pages, posters, billboards.

Question 4

What is horizontal integration?

Answer 4

Horizontal integration is when a company buys out or takes over another competing company that does the same / similar thing to them, or the same part of the production process.

Question 5

What is vertical integration?

Answer 5

Vertical integration is when a company buys out or takes another company that does a different part of the production process to them. For example, a production company buys out a distribution company.
Vertical Integration means a company can do more than one stage of the production process.