Ownership and control

 1) Why did Facebook buy Instagram for $1bn in 2012?

Facebook bought Instagram for $1bn in 2012 to eliminate Instagram as a competition and also make more profit.

2) What are the benefits for media companies of vertical integration?

The benefits for media companies of vertical integration is that they can earn more money from the different companies they own.

3) What are the benefits for media companies of horizontal integration?

The benefits for media companies of horizontal integration is that they can cancel out other companies so that they're not the competition.

4) What is a subsidiary?

A subsidary is a smaller company that is owned by a conglomerate.

5) Give three examples of media companies that have used synergy to maximise the profit from a brand

-Disney

-Facebook 

-Skyfall

6) Read this BBC article on Disney buying 21st Century Fox. List 10 companies that are part of the Disney media empire. This graphic may help you: 

-Marvel,21st Century Fox,Hulu,Lucasfilm,FX,Touchstone pictures,The History Channel,ABC,ESPN and A&E.

7) Why did Disney buy Fox - what are the benefits?

Disney bought Fox because of the value it adds to the streaming service.

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