OwnerShipAndControl

 

1) Why did Facebook buy Instagram for $1bn in 2012?

So that it can secure its dominant business in social media for years to come.

2) What are the benefits for media companies of vertical integration?

Better communication and collaboration which improves the ability to changes in the market.

3) What are the benefits for media companies of horizontal integration?

Increasing market share,reducing competition,and creating economies of sale.

4) What is a subsidiary?

The smaller companies that conglomerate companies own.

5)  Give three examples of media companies that have used synergy to maximise the profit from a brand(there is one above to help you).

An advertisement on television as it might be more persuasive.Posters as they may be seen more and stand out.Newspapers as you can see the information in your spare time.

6) Read this BBC article on Disney buying 21st Century Fox. List 10 companies that are part of the Disney media empire. This graphic may help you: 

Disney+

Star

ESPN

Marvel

Hulu

ABC entertainment

Viceland

Pixar

Lucas Film

ABC News and Radio 

7) Why did Disney buy Fox - what are the benefits?

Disney will be able to provide more high quality content and entertainment for their audience.