Cover Lesson

Task One
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Vertical Integration: A strategy whereby a company owns or controls its suppliers, distributors, or retail locations to control its value or supply chain.
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Advantages

• It allows you to invest in assets that are highly specialised
• It gives you more control over your company 
• It requires lower cost of transaction
• It offers more cost control
• It ensures a high level of certainty when it comes to quality

Disadvantages

• It can result in decreased flexibility 
• It can create some barriers for market entry
• It can cause confusion within the business
• It requires a huge amount of money
• It is not very simple to do

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Horizontal Integration: is the process of a company increasing production of goods or services at the same part of the supply chain.

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Advantages

• Larger market share
• Bigger base of customers
• Increased revenue

Disadvantages

• Regulatory scrutiny
• Stunting economic growth of the new enterprise
• Reduced flexibility 
• Destroys value rather than creating it

Task two

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a) 

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Mainstream audience = it is very open to a wide range of people and is seen as very popular in the media, therefore a lot of people know about it and will follow it. Eg X-Factor and Ariana Grande

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Niche audience = tend to watch/read things that interesting to them as an individual, very few people are into it as its not popular. It is for people who are very individual and particular in there taste. Eg Indie music and Indie Films

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b)

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Pull media: You, the consumer, steer.  Pull media are passive, there if you want them.  Examples are the traditional media, such as radio and television, over which you have control to pull in a message.  You can turn them on or off.  You can pick up a newspaper, magazine or book and put it down.  You can go to a movie or not.

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Push media: By contrast, push media propell messages at you whether invited or not.  An example would be a recorded voice in a grocery store aisle that encourages you to buy a certain brand of cornflakes, as you pass by the cereals.  Push media are taking sophisticated forms on the web and new technologies are making the media more pervasive than ever.  They are always on. 

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Why has this change happened?

This change has happened because nowadays people want you to see and hear what they want you to so the push media means that it is pushed on you and subconciously you may make this change due to the constant being told.

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How has this happened?

This has happened as technology has developed as the people of authority want you to have this in your mind for political and marketing reasons.