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Learning Objective

Learning Objective. To be able to explain vertical and horizontal integration. ANSWERS FILM. Answers. 1) Someone has an idea for a movie and create an outline and use it to promote interest in the idea. 2) A studio or independent investor decides to purchase rights to the film.

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Learning Objective

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  1. Learning Objective To be able to explain vertical and horizontal integration

  2. ANSWERS FILM

  3. Answers 1) Someone has an idea for a movie and create an outline and use it to promote interest in the idea. 2) A studio or independent investor decides to purchase rights to the film. 3) The film is completed and sent to the studio. 4) The studio makes a licensing agreement with a distribution company. 5) The distribution company shows the movie (screening) to prospective buyers representing the cinemas. 6) The buyers negotiate with the distribution company on which movies they wish to lease and the terms of the lease agreement. 7) The distribution company determines how many copies (prints) of the film to make. 8) The reel of films are sent to the cinemas a few days before the opening day. 9) The cinemas shows the movie for a specified number of weeks (engagement). 10) At the end of the engagement, the cinema sends the film back to the distribution company and makes payment on the lease agreement.

  4. Key terms Production: - all of the processes involved in the production of a film – from the idea to the editing. Distribution – all of the processes involved in getting a film into the cinema and making audiences aware of the film. Exhibition – all of the processes involved in showing a film to an audience Consumption – how audiences decide to watch a film.

  5. Vertical integration This describes the process by which a film/media company owns companies at each stage of the production, distribution, exhibition cycle. Horizontal Integration When a company owns other companies within one stage of the production, distribution, exhibition cycle. E.G A company owns a number of production companies.

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