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Horizontal integration and Reach PLC
Curran and Seaton
Reach PLCs horizontal horizontally integrated corporate structure brings a range of benefits for the Daily Mirror set text.
Sister ownership, for example, of multiple regional publications - The Manchester Evening News, The Newcastle Chronicle and Birmingham Live - gives the Mirror access to a rich range of regional content and also to a nationwide network of locally situated reporters. In the edition that we explored in class that access results in an editorial slant that foregrounded regional court reported stories - a mainstay activity of regional press journalism.
The organisation’s investment in regionally based personnel is also exemplified by the extensive regional football reportage offered by the Mirror (over six pages in the edition we studied). The use of locally connected football journalists yielding the national paper a rich stream of news know-how that more nationally oriented titles can’t reproduce.
The ownership of subsidiaries that produce similar products or services. Reach PLC for instance is horizontally integrated through its ownership of the Mirror and the Star newspapers.
Media terminology used
Any strategy used by media producers to help them save production costs. Bulk buying for instance allows media producers to save money on raw material costs. Horizontal integration also saves money by rationalising personnel needs.
Economies of scale
Achieved when two or more subsidiaries are owned by a media company - allowing conglomerates to make savings through bulk buying or by sharing resources. Reach PLC for instance uses one printing press to produce a number of different newspapers - saving Reach the expense of paying external printers to manufacture their titles.