Phoenix Satellite Television Holdings («Phoenix TV») was established in 2006 as a joint venture with News Corporation (in the "News Corp's") STAR TV unit and Liu Changle, Shanghai businessman and former military journalist, as key stakeholders. Presenting his seven channels, window to the world of Chinese viewers, Phoenix TV has been able to capitalize on uncertainty in the regulatory environment in China, and (with the tacit approval of the authorities) was the only foreign destination of TV news program on the Chinese mainland audience. In China, where there were significant limitations on audience measurement and advertising was still a young business, ad sales were largely driven by the image of the media outlet. Phoenix TV, said the audience containing highly educated in China with high-income, urban elite. Broadcaster access to the highly coveted Chinese market far surpassed foreign media groups, such as Time Warner and Viacom. However, its share of viewing on a national basis, trailed behind the state broadcaster, CCTV, and local big media groups that have been raising the standards of production and gain an audience with the dramatic programming. Phoenix TV management was aware of the impending events on the horizon: the convergence of telecommunications and broadcasting, further liberalization of the media industry in China, and the gradual deployment of digital TV networks across the country, which will lead to increased demand for maintenance and provide new opportunities for subscription-based TV . First of all, the chairman of Phoenix TV, Liu Changle, was concerned that the broadcaster was overly dependent on advertising revenue. In June 2006, China Mobile acquired 19.9% stake in Phoenix TV from News Corp. through a new alliance, Phoenix TV hoped to work in the new media as a content provider for the largest mobile operator in China. "Hide
by Yung-Ming Chan, Amir Hoosian Source: University of Hong Kong, 34 pages. Publication Date: January 4, 2007. Prod. #: HKU732-PDF-ENG
Related Case Solutions & Analyses:
Deposita – Whether to Dominate the Value Chain or Not
How to Have Influence
Charles Schwab & Co. Inc.: The Talk to Chuck Advertising Campaign
Building Organizational Integrity
Gome–King of Chinas Electrical Appliance Retail Chain
Bridging the Gap Between Stewards and Creators
Adam Baxter Co.Local 190: 1983 Negotiation Local 190 Confidential Information
Turner Construction Co.: Project Management Control Systems
Thriving in a Big Data World
Why Manage Risk?
