Oligopolies - Disney

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THE ORIGINAL BIG 6:

  • 20th Century Fox
  • Paramount Pictures
  • Warner Bros.
  • Universal studios 
  • Columbia Pictures
  • Walt Disney Studios  
The original big six accounted for over 83% of the North American market share and bought in billions of dollars in revenue each year. The 6 companies that form the Hollywood system. 

However, in 2019, Walt Disney Studios acquired Fox studios and then became the BIG 5.

THE BIG 5:

  • Walt Disney Studios 
  • Paramount Pictures 
  • Warner Bros. 
  • Universal Studios 
  • Columbia Pictures 

OLIGOPOLIES: The term used to describe the big 5 (conglomerates) dominating the media landscape or market/industry.

VERTICAL INTEGRATION:  When a company owns all stages of the production, distribution and sale or, in the case of cinema, exhibition of the product. 

HORIZONTAL INTEGRATION: Complementary businesses in relation to the film this means one large company owning several other companies in different media. (eg. owning a film production company and a magazine company).


GOLDEN AGE OF HOLLYWOOD: 
  • It started in 1915 and ended in 1963.
  • The Golden Age of Hollywood is so called because of the enormous amount of money the movies produced and the images of the glittering and glamorous movie stars that filled the movie screens.



DISNEY:

Disney film studios is an oligopoly as they are one of the Big 5 companies dominating the film industry by releasing many influenceable and successful films every year.

LIST OF COMPANIES ATTACHED TO DISNEY: 
  • ABC
  • ESPM (80% stake)
  • Touchstone pictures
  • Marvel
  • Lucasfilm
  • A&E (50% equity holding with Hearst corp)
  • History channel ( 50% equity holding with Hearst corp)
  • Life time (50% equity holding with Hearst corp)
  • Pixar
  • Hollywood records
  • Vice Media (10% stake)
  • Core publishing 
  • Star 
  • National geographic
  • Hulu (30%)

AWARDS, SPECIFIC FILMS ATTACHED TO DISNEY WITHIN THE LAST 5 YEARS:
  • Disney has been awarded with 22 Oscars and 59 nominations all round time.
2014:
  • Big hero six ( best animated feature)
  • Feast (best animated short film)
2015:
  • Inside out ( best animated feature)
  • Bridge of spies (best actor in supporting role)
2016:
  • Piper (best animated short film)
  • Zootopia ( best animated feature)
  • Jungle book (BEST VISULA EFFECT)
2017:
  • Coco (best animated feature and best original song for 'remember me')
2018:
  • Bao (best animated short film"
  • Black panther ( best original score, Best costume design, Best production design)
2019:
  • Toy story 4 (best animated feature)
  • Ford vs Ferrari (best film editing and best sound editing)
  • JoJo Rabbit (best adapted screen play)
2020-2021:
  • Soul (best animated feature best original score)
  • NomadLand ( best picture, best director, best actress)


MARKET DOMINANCE AND MARKET SHARE:

When taking Fox's Market share into account and combining the figure to Disney's, the latter's market share amounts to 38% in 2019. 
(box office north America including fox)

2016- 26.3%
2017- 21.8%
2018- 26%
2019- 33.1%
2020- 11.5%
(just box office for Disney)


DISNEY MARKET SHARE WORLDWIDE: 
23.61% 


DOES DISNEY USE MEDIA FRAGMENTATION?

WHAT IT IS: Describes a trend to increasing choice and consumption of a range of media in terms of different channels such as web and mobile also within channels, for example more TV channels, radio stations, magazines, more websites.
  • Yes, because they have a streaming app called 'Disney plus'. 
  • here you can watch on your phone, laptop, TV, and iPad.
  • Disney movies are also on apple TV which makes them even more money and people either buy or rent the movie for a certain period of time. 
  • through google, Sony and Microsoft  (Xbox one ) and Roku.

HOW MUCH MONEY THEY MAKE FROM DISNEY PLUS: 
With a monthly subscription of $10 and a yearly subscription of $100 Disney makes revenue of $3.5 billion each year.

rather than just showing new Disney movies in the cinema, they also put it on Disney plus where you can pay an extra amount of money to watch it. For example when Mulan and Cruella were released, people were able to pay an extra $40 to watch it on Disney plus. 


HOW DOES DISNEY DOMINATE THE NEW ZEALAND MARKET:
Disney dominates the New Zealand Market through the use of Disney plus.
Over 2.8 million New Zealanders aged 14+ watched subscription tv which is the largest growth for Disney plus. 

over covid, Disney plus thrived and dominated the scene by having their films available to watch from home regardless of the new rules put in place, as other film companies were falling as their main distribution was through cinemas as such.


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