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Mtv-case Study Analysis

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BY-AARZOO CHOPRA BY-AARZOO CHOPRA

Q 1 Q 1

According to me its not the

According to me its not the mere presence across many countries that became mere presence across many countries that became a reasona reason for the success of mtv.

for the success of mtv. The factors that led to the

The factors that led to the success of mtv wassuccess of mtv was 1 the region centric approach

1 the region centric approach

2. Acquiring the local channels of many countries 2. Acquiring the local channels of many countries

3 Apart from localizing the mtv’s efforts to understand the

3 Apart from localizing the mtv’s efforts to understand the tradition and culture of thetradition and culture of the country in which they operated. Eg

country in which they operated. Eg Indonesia calls for prayerIndonesia calls for prayers were aired on s were aired on mtvmtv everyday.

everyday.

4 Company’s policy of providing creative and

4 Company’s policy of providing creative and commercial autonomy to the localcommercial autonomy to the local channels led to innovation and vast expansion of the regional channels

channels led to innovation and vast expansion of the regional channels

RISKS

RISKS OF OF GLOBALIZATION GLOBALIZATION for for mtvmtv

1 Rise of Competition from – television, growth of internet and availability of online 1 Rise of Competition from – television, growth of internet and availability of online videos from you tube and my space.

videos from you tube and my space.

2. Vast expansion means total commitment on the part of the company and sometimes it 2. Vast expansion means total commitment on the part of the company and sometimes it  becomes difficult to manage efficiently each and

 becomes difficult to manage efficiently each and every region of operation.every region of operation. 3. difficulty in understanding the culture- mtv vast expansion can lead to cultural 3. difficulty in understanding the culture- mtv vast expansion can lead to cultural misunderstandings of many regions also.

misunderstandings of many regions also.

4. decrease in the revenue earned by the company coz of tough competition. 4. decrease in the revenue earned by the company coz of tough competition. 5 the taste and preferences

5 the taste and preferences of the target market served by mtv is chof the target market served by mtv is changing rapidly. Theanging rapidly. The chosen market is the young ad

chosen market is the young adult stage that is turbulent and is short lived so ult stage that is turbulent and is short lived so it needs toit needs to understand how to cater to

understand how to cater to their needs and serve them btheir needs and serve them better in order to be successful.etter in order to be successful. Q2 Q.2. Is this true only for media

Q2 Q.2. Is this true only for media companies or all multinational companies?companies or all multinational companies?

Localization

Localizationis the process of adapting a product or service to a particular language, culture,is the process of adapting a product or service to a particular language, culture,

and desired local “look-and-feel.” any company whether its media or multinational company and desired local “look-and-feel.” any company whether its media or multinational company hurts the cultural heritage of any country can be kicked out. So to stay and prosper in the local hurts the cultural heritage of any country can be kicked out. So to stay and prosper in the local market it’s important to adopt the local culture. As by the case we came to know that how a market it’s important to adopt the local culture. As by the case we came to know that how a media company like MTV changed its policies from country to country to become localized for media company like MTV changed its policies from country to country to become localized for gaining success. Like the same way MNC also need to adopt local culture. This thing is more gaining success. Like the same way MNC also need to adopt local culture. This thing is more particular in FMCG product.

particular in FMCG product.

For example Mc Donalds have various products dedicated to Indian taste like Mc Aaloo Tikki. In For example Mc Donalds have various products dedicated to Indian taste like Mc Aaloo Tikki. In fact unlikeUS its uses vegetable oil for cooking up of products.

fact unlikeUS its uses vegetable oil for cooking up of products.

In other MNC’s also they need to adopt to the local culture. Eg. As we know culture of US is In other MNC’s also they need to adopt to the local culture. Eg. As we know culture of US is very open. Shaking hands with ladies is common this cant be done in Middle east countries or very open. Shaking hands with ladies is common this cant be done in Middle east countries or Islamic countries. So the employees must keep these things in mind.

Islamic countries. So the employees must keep these things in mind. The rules of companyThe rules of company should also be adjusted according to local rules as the industrial rule is different in different should also be adjusted according to local rules as the industrial rule is different in different countries. Any manufacturing unit can’t follow it’s home country industrial rule to workers. countries. Any manufacturing unit can’t follow it’s home country industrial rule to workers. So whether its media or

So whether its media or any MNC local culture should must kept in mind. Though in case any MNC local culture should must kept in mind. Though in case of of  media companies its much more as

media companies its much more as they are more directly related to people.they are more directly related to people.

Critically analyze MTVI’s localization policies, and comment on how they contributed to the Critically analyze MTVI’s localization policies, and comment on how they contributed to the network’s global success.

network’s global success.

1.

1. MTVI adopted the policy of ‘think globally, act locally’ in the mid-1990’s and began toMTVI adopted the policy of ‘think globally, act locally’ in the mid-1990’s and began to launch separate channels in its different regions.

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2.

2. MTVI built its base outside US by not only launching the MTV channel but also byMTVI built its base outside US by not only launching the MTV channel but also by acquiring local Music channels.

acquiring local Music channels. MTV Network

MTV Network

EUROPE-1.

1.  To cope up the competition MTVN Europe began offering versions of its channels in To cope up the competition MTVN Europe began offering versions of its channels in local languages throughout Europe.

local languages throughout Europe.

2.

2. By the early 2000s, MTV Europe had reached about 100 million homes across theBy the early 2000s, MTV Europe had reached about 100 million homes across the continent.

continent.

3.

3. MTVN Europe launched MTV Italia as a separate channel in 1997. Its one of the biggestMTVN Europe launched MTV Italia as a separate channel in 1997. Its one of the biggest channels in terms of advertisement revenues and reach.

channels in terms of advertisement revenues and reach.

4.

4. MTV Italia launched various shows for capturing market which was local based.MTV Italia launched various shows for capturing market which was local based.

5.

5. MTVN Europe was present in 48 countries in Europe and Africa in 2006.MTVN Europe was present in 48 countries in Europe and Africa in 2006.

MTV Networks in Latin MTV Networks in Latin

America-1.

1. Launched in 1993 to air MTV in Mexico, Venezuela, argentina etc.Launched in 1993 to air MTV in Mexico, Venezuela, argentina etc.

2.

2. Language was SpanishLanguage was Spanish

3.

3. MTV brasil launched in 1990 was a wholly owned subsidiary of Abril, Brazil’s largestMTV brasil launched in 1990 was a wholly owned subsidiary of Abril, Brazil’s largest publisher. publisher. MTV Networks ASIA-PACIFIC MTV Networks ASIA-PACIFIC MTV Australia MTV Australia 1.

1. MTV Australia launched in 1987 but cause of some problems with Viacom itMTV Australia launched in 1987 but cause of some problems with Viacom it discontinued its programmes. Reentered the market in 1996.

discontinued its programmes. Reentered the market in 1996.

2.

2. Earlier it majorly shown US programmes which started getting criticized by publicEarlier it majorly shown US programmes which started getting criticized by public so it launched Australian versions like MTV most wanted, Total request live etc so it launched Australian versions like MTV most wanted, Total request live etc MTV ASIA

MTV ASIA

1.

1. MTV entered India with STAR tv, but partnership didn’t continued long.MTV entered India with STAR tv, but partnership didn’t continued long.

2.

2. So it reentered in 1995 with So it reentered in 1995 with tie up with polygram.tie up with polygram.

MTV MTV

India-1.

1.  There were ‘Indianized’ programs like MTV Bakra, Fully Faltoo, Roadies etc. There were ‘Indianized’ programs like MTV Bakra, Fully Faltoo, Roadies etc.

2.

2. It co sponsored many music events.It co sponsored many music events.

3.

3. By 2004, MTV India had become the leading Indian music channel in terms of By 2004, MTV India had become the leading Indian music channel in terms of  adevertising revenues with a 35% market share.

adevertising revenues with a 35% market share. MTV CHINA

MTV CHINA

It was the most difficult to enter china cause of govt regulations but whn MTV entered it It was the most difficult to enter china cause of govt regulations but whn MTV entered it needed to mould its programs according to Chinese people. Chinese parents were very needed to mould its programs according to Chinese people. Chinese parents were very restrictive when it comes to choice of

restrictive when it comes to choice of tv programs.tv programs. Other LOCALIZATION

Other LOCALIZATION

Moves-It gave platform for new musicians by showing them in the music chart e.g. Shakira, Adnan It gave platform for new musicians by showing them in the music chart e.g. Shakira, Adnan Sami, Colonial Cousins etc.

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Q3

Q3 Ques 3.—Ques 3.—

Growth of the internet and the availability of online video sharing websites like Growth of the internet and the availability of online video sharing websites like “Youtube”

“Youtube” and “MySpace” and “MySpace” can can be considered be considered as a as a threat to threat to the televisionthe television networks.people generally are spending less time watching television. networks.people generally are spending less time watching television. To counter this challenge,MTVN began sprucing up its online content by To counter this challenge,MTVN began sprucing up its online content by

launching “Overdrive”,a broadband Internet video-on-demand service to provide launching “Overdrive”,a broadband Internet video-on-demand service to provide video streams. MTVN provided live videos of its shows through this service. video streams. MTVN provided live videos of its shows through this service. MTVN has built a strong base across countries through its localization policies MTVN has built a strong base across countries through its localization policies and the emergence of digital television and internet provided an opportunity to and the emergence of digital television and internet provided an opportunity to extend their reach to the international audiences.

extend their reach to the international audiences.

MTVN should come up with more broadband services and mobile services. MTVN should come up with more broadband services and mobile services. These online services will be well received.It should come up with more youthful These online services will be well received.It should come up with more youthful innovations that should target the current issues related to the youth.

innovations that should target the current issues related to the youth.

Dimensions of Media Difference

Dimensions of Media Difference

All media move faster these days. Compare an old TV show with a current one, and All media move faster these days. Compare an old TV show with a current one, and you'll see that the cuts come quicker.

you'll see that the cuts come quicker. And, between TV and

And, between TV and the Web, there are many differences that result in the Web, there are many differences that result in a substantiallya substantially faster online media velocity:

faster online media velocity:

T

TVV WWeebb

Audience Audience

Mass: everybody watches Mass: everybody watches the same basic channels, so the same basic channels, so the programming has to be the programming has to be  bland

 bland

 Niche

 Niche: everybody seeks out: everybody seeks out their own special interests their own special interests the moment they want the moment they want something

something U

Ussaabbiilliittyy TTuurrn n iit t oonn FFiigguurre e iit t oouutt Technology

Technology

Weak: can't do anything Weak: can't do anything except show pictures; offers except show pictures; offers no features

no features

Powerful: can do almost Powerful: can do almost anything; offers plenty of  anything; offers plenty of  features features Main access Main access UI UI

"Same time, same channel" "Same time, same channel" next week 

next week  SearchSearchandand navigationnavigation User 

User  experience experience

Passive: sit back and let it Passive: sit back and let it happen the way the program happen the way the program

Active: lean forward and Active: lean forward and decide where you want to go decide where you want to go

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d

diirreeccttoor r ddeecciiddeedd aat t aanny y ttiimmee F

Fllooww LLiinneeaarr HHyyppeerrtteexxtt

Distractions Distractions

 None (except for temptation  None (except for temptation to do something else during to do something else during commercials), so you stay commercials), so you stay focused on the one show focused on the one show you're watching

you're watching

Many: other windows and Many: other windows and tabs beckon (and you'd tabs beckon (and you'd  better check your email  better check your email

right now

right now in case somethingin case something important has come in) important has come in)

Ownership Ownership

MSM (main-stream media = MSM (main-stream media =  big corporations, because  big corporations, because

it's expensive to run a it's expensive to run a  broadcast network)  broadcast network)

The means of production are The means of production are in everybody's hands,

in everybody's hands,

reversing the centralization reversing the centralization caused by the industrial caused by the industrial revolution revolution Production Production values values HHiigghh LLooww Social Social context context

Often with others; in a Often with others; in a family room

family room

Usually alone; in an office Usually alone; in an office or den

or den

Brand- building

 building IImmaagge e aannd d ssllooggaannss EExxppeerriieennccee Good for 

Good for  advertising?

advertising? YesYes

 No

 No(except search and(except search and classified ads)

classified ads)

Sales cycle Sales cycle support

support Demand creationDemand creation

Research,

Research, buying buying,,

fulfillment (for electronic fulfillment (for electronic  products),

 products), customer supportcustomer support,, relationship maintenance relationship maintenance

Of course, I'm simplifying when I say that TV has easy usability and no features. One Of course, I'm simplifying when I say that TV has easy usability and no features. One look at a remote control implies otherwise — and

look at a remote control implies otherwise — and usability of remote controlsusability of remote controls hasn'thasn't improved since I analyzed it 5

improved since I analyzed it 5 years ago. Indeed, people basically don't years ago. Indeed, people basically don't use any of TV'suse any of TV's advanced features precisely because they're so

advanced features precisely because they're so cumbersome. As a result, the received user cumbersome. As a result, the received user  experience is pretty simple: turn it on, sit back,

experience is pretty simple: turn it on, sit back, and enjoy the show.and enjoy the show. The Web has powerful features, is nonlinear,

The Web has powerful features, is nonlinear, and is user-driven — able toand is user-driven — able toinstantlyinstantly gratifying

gratifying users' current needs based on their search users' current needs based on their search engine queries.engine queries. Mobile Web useMobile Web use lives even more in the

lives even more in the current moment.current moment.

Compared to TV, the Web also has a much finer 

Compared to TV, the Web also has a much finer granularity of user controlgranularity of user control::

• When watchingWhen watchingTVTV, you make one decision every, you make one decision every30–120 minutes30–120 minutes: pick a show: pick a show

or movie to watch, and

or movie to watch, and then it's lean-back time.then it's lean-back time. Ah, easy. Ah, easy.

• When surfing theWhen surfing theWebWeb, you make a decision every, you make a decision every10–120 seconds10–120 seconds: leave or stay: leave or stay

on this page; leave or stay on this site. Where to click now? Where to click next? on this page; leave or stay on this site. Where to click now? Where to click next? Stressful.

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Adding up all these differences explains the

Adding up all these differences explains the fast pacefast paceof Web use: the velocity is muchof Web use: the velocity is much higher than we see for TV use

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