Ownership and Funding

Ownership concepts

Public service broadcasting (PSB)
PSB refers to broadcasting intended for public benefit rather than to serve purely commercial interests. All of the BBC's television and radio stations have a public service remit, including those that broadcast digitally. Examples of public service broadcasting are the BBC One, ITV, channel 4, BBC Two, etc.

Commercial Broadcasting
This is the broadcasting of television programs and radio programming by privately owned corporate media, as opposed to state sponsorship. It was the united states first model of radio during the 1920's in contrast with the public television model in Europe during the 1930's, 1940's and 1950's. Examples of this are CBS, Fox and NBC television networks.

Corporate and private ownership
In countries with public trading markets, a privately held business is generally taken to mean one whose ownership shares or interests are not publicly traded. Often, privately held companies are owned by the company founders or their families and heirs or by small group of investors. Corporate ownership is one of three broad categories of legal ownership of a business, while an individual may own all the shares of a corporation, he or she is not personally responsible for it.

Global companies
A global company is one that does business in at least one country of its country of origin. Once a company decides to go global and has success in one country, it naturally tries expanding to another country, so global companies often have a presence in several countries. Examples of global companies are Adobe, Cisco, 3M, American Express and more.

Vertical Integration (owning stuff in different sectors)
Vertical integration is a strategy whereby a company owns or controls its suppliers, distributors, or retail location to control its value or supply chain. Vertical integration benefits companies by allowing them to control the process, reduces costs, and improve efficiencies. Netflix is a prime example of vertical integration whereby the company started as a DVD rental company supplying film and TV content. The company's executive management realized they could generate more revenue by shifting to original content creation.

Horizontal Integration / Monopolisation
Horizontal integration is the process of a company increasing production of goods or services at the same part of the supply chain. A company may do this by internal expansion, acquisition or merger. The process can lead to monopoly if a company captures the vast majority of the market for that product or service. Examples of this are Volkswagen and Porsche, Facebook and Instagram, Disney and Pixar.

Funding types

The licence fee
The income from the licence fee means all licence payers can enjoy an ever wider choice of BBC programmes and service on TV, radio and online including: radio stations, BBC website, BBC iplayer, BBC sounds, BBC world service and other apps and online services. The licence fee also allows the BBC's UK services to remain independent and free from commercial advertising.

Subscription
A subscription is a signed agreement between a supplier and customer that the customer will receive and provide payment for regular products or services. These are usually paid monthly or annually. Examples of companies that uses subscriptions are Netflix and Amazon prime.

One-off payment to own product
A one-off (one-time) payment means a transaction that does not establish any continuous relationship between a buyer and a seller. That is, the buyer purchases something once and the payment process is over. Examples pf this are anything you can buy that doesn't mean your are paying monthly or annually, etc.


                                                      Pay per view (PPV)
Pay per view is a type of pay television or webcast service by which a viewer can purchase events to view via private telecast. The broadcaster shows the event at the the same time to everyone ordering it. Events distributed through PPV typically include sports events boxing, and sports entertainment such as professional wrestling, and concerts. Some main examples of PPV services are Sky Sports and BT
Sport.

Sponsorship
Sponsoring something is the act of supporting an event, activity, person, or organization financially or through the provision of products or services. The individual or group that provides the support, similar to a benefactor, is known as a sponsor. Some examples of sponsors of programs are Just Eat and The X Factor, I Saw It First and Love Island.

Advertising
Advertising is a marketing communication that employs an openly sponsored, non-personal message to promote or sell a product, service or idea. Sponsors of advertising are typically businesses wishing to promote their products or services. There are different examples of advertising such as print, broadcast, outdoor, digital, and product/brand integration.

                                                                                    Product placement

Product placement, also known as embedded marketing, is a marketing technique where references to specific brands or products are incorporated into another work, such as film or television program, with a specific promotional intent. A few examples of product placement is Ray-Ban in Top Gun and Nike in Back to the future.





Crowd-funding
Crowdfunding is the practice of funding a project by raising small amounts of money from a large number of people, typically via the internet. Crowdfunding is a form of crowd sourcing and alternative finance. In 2015, over US$34 billion was raised worldwide by crowdfunding. An example of a movie that was crown funded is Veronica Mars where $5,702,153 were raised, and is the most successful crowdfunded movies ever.

Development funding
The BFI's Development Fund is intended for the formal development of projects that are unlikely to be commercially financed at an early stage and would therefore benefit from National Lottery support.