MARKET TYPOLOGY, CONCENTRATION, AND COMPETITION OF NATIONAL MEDIA CONGLOMERATE IN INDONESIA

Bestian Nainggolan

Abstract


The economic practices of media industry in Indonesia are inseparable from the pattern of oligopolistic market competition and control. This trend is seen from further centralized market control of media, particularly advertising media in a number of media corporate groups. Media corporate groups apply practices of conglomeration in market control with horizontal, vertical, or diagonal integrated strategy. Criticism on these practices is often expressed, but there is no assessment based on the empirical evidence on the business behavior of media conglomeration. This paper explores the characteristics of media conglomerate by reconstructing the typology of media conglomeration introduced by Richard Bounce: Concentric Conglomerates and Diversified Conglomerates, and three models by Graham Murdock: Industrial Conglomerates, Services Conglomerates and Communications Conglomerates. Six typology models of conglomerate are formed, namely (1) Industrial-Concentric; (2) Industrial-Diversified; (3) Services-Concentric; (4) Services-Diversified; (5) Communications-Concentric; (6) Communications-Diversified. The economic performance of each conglomerate group regarding market concentration and market competition in constructing the market structure of media industry is studied based on the typologies. The study finds a new typology model of media conglomerate and manages to prove that national media conglomerate still dominates the media market in Indonesia. 


Keywords


Media Conglomerate, Media Industry, Typology, Market Structure

Full Text:

PDF

References


Albarran, B Alan, (1996). Media Economics: Understanding Markets, Industries and Concepts.

Iowa: Iowa State University Press.

Albararran, B. Alan; Mierzejewska I. Bozena, (2004). Media Concentration in the US and Europeran Union: A Comparative Analysis. Centre d’estudes sur les medias and Journal of Media Economics.

Bounce, Richard, (1976). The Conglomerates Complex, Television in Corporate Interest. New York: Praeger.

Dhakidae, Daniel, (1991). The State, the Rise of Capital and the Fall of Political Journalism. Political Economy of Indonesian News Industry. Unpublished Dissertation. Ithaca: Cornell University.

Doyle, Gillian, (2002). Media Ownership: the Economics and Politics of Convergence and Concentration in the UK and European Media. London: Sage Publications

Hanazaki, Yasuo, (1998). Pers Terjebak. Jakarta: Institut Studi Arus Informasi.

Hoskins, Colin, Stuart Mc Fadyen, Adam Finn, (2004). Media Economics Applying Economics to New and Traditional Media. London: Sage Publications.

Lim, Merlyna, (2012). The League of Thirteen Media Concentration in Indonesia. Participatory Media Lab, Arizona State University & Ford Foundation.

Murdock, Graham, (1990). Redrawing the Map of the Concentration and Ownership in the Era of Privatization, in Marjorie Ferguson (ed), Public Communication-The New Imperatives: Future Directions for Media Research. London: Sage Publications.

Media Scene 1997, 1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005, 2006, 2007, 2008, 2009, 2010, 2011, 20012, 2013, 2014. Jakarta: ITKP Mediatama Advertising.

Nugroho, Y., Putri, DA., Laksmi, S, (2012). Memetakan Lanskap Industri Media Kontemporer di Indonesia (Bahasa Indonesia edition). Report. Bermedia, Memberdayakan Masyarakat: Memahami Kebijakan dan Tata Kelola Media di Indonesia melalui Kacamata Hak Warga Negara. Collaborative Research between Centre for Innovation Policy and Governance dan HIVOS Regional Office South East Asia. Funded by Ford Foundation. Jakarta: CIPG and HIVOS.

Picard, R.G (1988). Measure of Concentration in the Daily Newspaper Industry. Journal of Media Economics, 1:1, 61-67.

Picard, R.G, (1989). Media Economics. Beverly Hills: Sage.




DOI: https://doi.org/10.25008/jkiski.v2i1.89



      




Article Metrics:

Abstract Views - 544

PDF Downloads - 401



Refbacks

  • There are currently no refbacks.




Copyright (c) 2017 Bestian Nainggolan

Creative Commons License
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.



Indexed by: 
Google Scholar  Mendeley

Jurnal Komunikasi Ikatan Sarjana Komunikasi Indonesia (P-ISSN : 2548-8740, E-ISSN : 2503-0795)
Creative Commons License
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

Editorial Secretariat:
Jurnal Komunikasi: Ikatan Sarjana Komunikasi Indonesia (ISKI)
Gedung Dewan Pers 5th Floors, Jl. Kebon Sirih 32-34 Jakarta 10110 - Indonesia

Contact Person: Prof. Dr. Rajab Ritonga, M.Si

Email                  : rajab.ritonga@dsn.moestopo.ac.id

Call/Whatsapp : +62811133471
View My Stats