RTV 3007 • Study Guide • Third Exam
Below are items that you should know in preparation for the third exam covering structure/operations,
regulation, programming and ratings. covering material discussed in class as well as Chapters 7, 8, 9,
10, and 12 of Broadcasting, Cable, The Internet and Beyond. We will review any questions that you have
The Business of Broadcasting, Satellite and Cable
What is the relationship between a broadcast network and its affiliates?
What is the overriding goal of commercial electronic media? Satisfy the advertisers
What is the difference between monopoly, oligopoly, and pure competition? Monopoly has no
competition, oligopoly has a limited number like in broadcasting, and pure competition there are few
market barriers, like the internet.
Horizontal integration and vertical integration- Horizontal is owning multiple entities within
different product or service types such as owning many cable networks, or some broadcast and some cable,
some TV and radio. Vertical is owning networks, studios and outlets.
Why are television networks efficient for national advertisers and local stations?
content and prestige.
What is the general definition of a network? Two or more outlets connected to allow
simultaneous presentation of content. Organization which packages and distributes content to affiliates.
What are the different types of broadcast networks? Regional is specific to a certain
geographical location. Ad hoc is a one time event like a telethon. Full service national like ABC and CBS
don’t have a license to broadcast.
What is the difference between the American broadcast model and that of other countries? The
American model is driven by money, capitalism and the free market.
What are the differences between broadcast and cable networks in how they are distributed?
Broadcast is sent to network and the affiliates through the air while cable is sent to cable service providers
and multisystem operators.
Even though it offers more networks, why doesn't cable have a huge audience share advantage
over broadcast networks (within prime time)? Refers to the audience share of individual cable programs,
there are more cable programs and they are mostly niche marketing.
Gross rating points, Cost per thousand- Evaluates a run of X number of commercials over a
specific time period that has a consistent rating for the target audience. CPM is used to express the cost of
reaching 1000 members of the audience.
What is the most important day part in terms of radio ad sales? In terms of TV ad sales?-
Morning Drive and Prime Time.
What are the differences between Local Spot Sales, Network Sales, and National Spot Sales?
LSS is Local commercials purchased to run on local stations. NetS is time purchased within a TV network