Wednesday, September 15, 2010

Why does economics drive most media companies?

Economics is defined as: the branch of knowledge concerned with the production, consumption and transfer of wealth. Economics drive most media companies because public are essentially the ones who control the money, which is what helps produce the media companies. Capitalism is a money driven system, and without the money there would be no expanding of the media, or any media at all. “The primary mass media industries became economic behemoths through one of two ways-advertising and sales”(Vivian 54). This shows that economic does drive the media because it basically states it right there. What do advertising and sales do? Bring in money. Companies advertise to have people spend money, and sales are the cost of an object or the media being sold. If our economy starts to fall, then the media companies will be affected by it. An example is the slipping economy today and in recent years. Media has become such an intricate part of everyone’s daily lives, therefore making it essential for companies to sell and advertise keeping our economy running.

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