Media Economics: Perspectives on Communication Industries

COMM 208 Media Economics: Perspectives on Communication Industries Spring 2011

Section: 20401R 2 units, W 12:00 – 1:50 PM, ASC G34 Instructor: Paolo Sigismondi, MBA, Ph.D. E-mails and Office Hours: [email protected], W 2:00 – 4:00 PM and by appointment

COURSE DESCRIPTION

This course follows, logically and chronologically, the foundations laid out in the course COMM 207 Economic Thinking for Communication and Journalism. It introduces principles of media economics and then applies them in the analysis of various communication industries: Motion pictures, Music, Video Games, Advertising and Public Relations. The global dimensions of these industries are also illustrated in a media landscape shaped by the unfolding digital revolution.

COURSE OBJECTIVES

The purpose of this course is to increase the economic literacy of the participants and provide a consistent set of core questions and concepts – a tool kit – to help analyze, innovate, lead, and be successful in these and other industries. The students will leave the class equipped to understand the principles of media economics that are shaping the evolution of the communication industries.

REQUIRED TEXT Turow, J. (2009). Media today: An introduction to mass communication (3rd edition). New York: Routledge. Suggested reading: Doyle, G. (2002) Understanding Media Economics. London: Sage Available through the USC electronic library system The rest of the readings are on reserve at the Annenberg Resource Center, or are available on line. There will be additional short readings distributed in class, or posted on Blackboard, on current evolutions of the industries analyzed.

ADA COMPLIANCE STATEMENT Any student requesting academic accommodation based on a disability is required to register with Disability Services and Programs (DSP) each semester. A letter of verification for approved accommodations can be obtained from DSP. Please be sure the letter is delivered to 2 your instructor as early in the semester as possible. DSP is located in STU 301 and is open 8:30 a.m. – 5:00 p.m., Monday through Friday. The phone number for DSP is 213-740-0776. ACADEMIC INTEGRITY The Annenberg School for Communication is committed to upholding the University’s Academic Integrity code as detailed in the Scampus guide. It is the policy of the School of Communication to report all violations of the code. Any serious violations or pattern of violations of the Academic Integrity Code will result in the student’s expulsion from the Communication major or minor.

COURSE REQUIREMENTS 1. Class participation. Students are expected to make informed contributions to class discussions and online activities, coming to class having completed all assigned readings. 2. Midterm exam. There will be a closed book midterm exam on March 2. 3. Course project. Students will conduct research on a topic related to this course. The final presentations will take place in the last week of classes, and they must include visual aids and a short paper (5-7 pages suggested). 4. Final exam. The final exam will take place on Friday, May 6, 11:00 -1:00 p.m.

GRADING Requirements will be weighed as follows:

Class participation 10% - 50 points Midterm exam 30% - 150 points Course project 30% - 150 points Final exam 30% - 150 points

Total 100% - 500 points 3

Tentative Course Schedule

Week 1. Introduction to Course (Jan. 12) Media Today - Chapter 5 (pp. 188 - 229)

Week 2. Understanding the Strategies of Media Giants (Jan. 19) Media Today - Chapter 6 (pp. 230 - 261)

Week 3. The Motion Picture Industry (Jan. 26) Media Today - Chapter 12 (pp. 462 - 503)

Week 4. The Motion Picture Industry - continued (Feb. 2) Picard, R. G. (2005). Unique characteristics and business dynamics of media products. Journal of Media Business Studies 2(2), pp. 61-69. Available at: http://www.jombs.com/articles/2005224.pdf

Doyle, G. (2002) Understanding Media Economics. London: Sage Chapter 6. Available through the USC electronic library system at: http://site.ebrary.com/lib/uscisd/docDetail.action?docID=10076758

Week 5. The Recording Industry (Feb. 9) Media Today - Chapter 11 (pp. 380 - 417)

Week 6. The Recording Industry - continued (Feb. 16) Driscoll, R. (2009). The impact of digital technology on the record industry. The Music Business Journal. Available at: http://www.thembj.org/? q=The+Impact+of+Digital+Technology+on+the+Record+Industry

International Federation of the Phonographic Industry (IFPI) (2009). Digital music report 2009: New business models for a changing environment. Available at: http://www.ifpi.org/content/library/DMR2009.pdf, pp. 1-31.

Week 7. The Video Game Industry (Feb. 23) Media Today - Chapter 14 (pp. 546 – 591)

Week 8. MIDTERM EXAM (Mar. 2)

Week 9. The Advertising Industry (Mar. 9) Media Today - Chapter 15 (pp. 592 – 623)

Week 10. SPRING RECESS – NO CLASS (Mar. 16) 4

Week 11. The Advertising Industry - continued (Mar. 23) Doyle, G. (2002) Understanding Media Economics. London: Sage. Chapter 3. Available through the USC electronic library system at: http://site.ebrary.com/lib/uscisd/docDetail.action?docID=10076758

Week 12. The Public Relations Industry (Mar. 30) Media Today – Chapter 16 (pp. 624 – 659)

Week 13. The Global Dimensions of the Communication Industries (Apr. 6) Wildman, S. S. (1995). Trade liberation and policy for media industries: A theoretical examination of media flows. Canadian Journal of Communication. 20(3). Available at: http://info.wlu.ca/~wwwpress/jrls/cjc/BackIssues/20.3/wildman.html.

Wilson, E. J. III (2008). Hard power, soft power, smart power. The Annals of the American Academy of Political and Social Science 2008 616: pp. 94-109.

Week 14. The Global Dimensions of the Communication Industries - continued (Apr. 13) Sigismondi, P. (2009). Global strategies in the children’s media market: The Jetix case in Italy. Journal of Children and Media 3(2), pp. 152-165.

Sigismondi, P. (2009). Hollywood piracy in China: An accidental case of US public diplomacy in the globalization age? Chinese Journal of Communication, 2(3), pp. 273-287.

Week 15. Media Companies in an Evolving Digital Landscape (Apr. 20) Everette, E. D., Warley, S. & Sheridan, J. (2006). Doing digital: An assessment of the top 25 U.S. media companies and their digital strategies. Journal of Media Business Studies 3(1), pp. 33-51. Available at: http://www.jombs.com/articles/2006313.pdf

Anderson, C. (2004) ‘The long tail’, Wired Magazine, October 2004. Available at: http://www.wired.com/wired/archive/12.10/tail_pr.html .

Elberse, A. (2008). Should you invest in the long tail? Harvard Business Review. Available at: http://harvardbusinessonline.hbsp.harvard.edu/hbsp/hbr/articles/article.jsp? ml_subscriber=true&ml_action=getarticle&ml_issueid=BR0807&articleID=R0807H &pageNumber=1

Week 16. Lessons Learned & Project Presentations (Apr. 27)

FINAL EXAM: Friday, May 6, 11:00 -1:00 p.m. 5