Business for media

Lecture.1

Media or singularly termed as medium, are means of communication enabled through technology.
Communication generally means creating or sending a message over space and time. It includes
every broadcasting and narrowcasting medium.

Evolution of media in Pakistan

There was a sudden existence of media in Pakistan after the military rule .In 2002 first Pakistani
satellite TV channel came in. Meanwhile other lots of channel came on air. Now it has become a
proper institute. Now Pakistan has more than 60 TV channels. And Fm radio.

Media is considered forth pillar of the state. Independent media has become the necessity of every
country. It has brought revolution in Pakistan. It is giving the awareness to common people who are
unable to understand the things by them own. But still there is much work is needed to do

Types of Media

Print Media(old media)

Magazines
 Newspapers
 Electronic Media
 Telephone
 Radio
 Photography
 Film & Television
 Advertising
 Graphic Design

Digital/New Media

 The Internet

Management
Management is the process of planning controlling managing and leading to accomplish a goal.

Indeed there are different definitions of management

How to start a business? What is process, and fundamentals of business?

What is business?
Business is an entity that is operated for the sake of profit.

There are different steps to start a new business

Initially, to start a business you must have a vision in your mind which can takes your business on a
high level…..vision basically gives you a direction

Mission statement

Usually it is called MOM. In mission statement u describes your purpose of business what do you
want to achieve and what are your plans.

POSDCORB

Planning

Organizing

Staffing:

Directing

Coordinating

Reporting

Budgeting

Planning
It is perhaps the foundation of any business venture. Without planning no business for long term
can survive. Planning helps one to identify the capabilities of the business.

SWOT analysis

It is very import to do SWOT analysis before starting a business. SWOT stands for strength,
weakness, opportunity and threat. It gives you an idea of your weaknesses and threats that you are
going to face.

Lecture.2

Research

To establish a business in a new environment you need t make research reports which help
you take a bird eye view of the specific position .it makes you enable to allocate your
recourses for your business..

1. Elements of research
2. Demographics
3. Genre
4. Age
5. Purchasing power
6. Political environment
7. Competitor
8. Cultural tastes
9. Seasonal condition..
10. Requirements of the market or consumer

Though there are many other elements which require attention to make research for any
new business. It’s a compulsory step to make research for it. With the help of the research
you can assess the position in specific environment.
Sec profiling
The markets in Pakistan are classified by social class of the Economy. There are several
groups in our economy, who are contributing in economy

Class A is the upper class people having extremely high finances. They are top level
executives. They consume at higher level as they have much income. They use luxury
products for their livelihood

Class B is the higher middle class people. These people have slightly less finances then class

A. These people are highly educated.

Class C is the lower middle and working class people. They are the semi professionals or
people having blue collar jobs.

Class D is the lower class people. They have jobs but are underpaid.

Class E is the underclass people. They have no jobs and live below the poverty line. They
have not willingness to purchase something..They are under privileged.

Lecture#3

Human recourse management

Human recourse department, it hires people for the organization. Staff is too important for
any organization…it is the duty of HR department to recruit such people who have ability
or potential to do something as they can deliver for their organization. Right people for the
right job.

There are different designations in a specific organization, which are from bottom to top or
top to bottom

People coordinate with each other to accomplish a goal..

This is an example of hierarchy of organization

News channel staff hierarchy ….

Lecture 4

Print media

Print media is the main source to get information of current affairs from within the country
or outside the country. In Pakistan print is playing its vital role in current affairs.

People who can get connection with electronic medial they prefer to have this mean of
communication

In print hookers take away 33% of revenues of any good publication, while if the publication is bad
they can take up to 50% of the revenues. Any good publication will not buy back the copies which
are not sold by the hookers because it will cause them loss. While a publication who is struggling
might would buy the copies back from the hooker.

Under print media fall two categories

 Newspapers
 Magazines

In Pakistan majority of Pakistani people read news paper as they think it cheap source to get
information and it is easily accessible to everyone.

Newspapers are run generally by editor in chief who also is the owner of the newspaper. Under him
are the following most departments for a newspaper

A. Editorial
B. Printing
C. Circulation
D. Advertising

In editorial department all the content to put up in a newspaper is a looked after. Reporters,
columnists, journalists, photographers all work for this department.

In printing the newspaper is printed, the page is set with columns of written as well as
photographs. Many newspapers also option for outsourcing printing.

News paper includes Sunday magazines and periodicals which they publish on weekend basis and
Mid week

Classified portion. There is facility for people they can advertise what they want to purchase and
what they want to se

The circulation department looks after selling the paper, its distribution, sending it to the mails or
subscribers.
Advertising department looks after selling the advertising of the space in the newspaper.
Sometimes they also design the ads for the clients. Advertising usually generates 70% to 80% of the
revenue of the newspaper.

Lecture#5

Budget is a important component for any business .you design your schedule for the entire year or
for half year .we make budget to make business more efficient in which we design our planning that
how much we will consume how much we will gain.

Approximately media industry takes away 30 billion rupees annually for advertisements. Around
four years back i.e. 2006 the annual income of media industry via advertisements was around 27
billion rupees.

Approximately media industry takes away 30 billion rupees annually for advertisements. Around
four years back i.e. 2006 the annual income of media industry via advertisements was around 27
billion rupees.

How T.V Channels are viewed?

 tv
statelite
channal

cable audiance
audiance

Quad Play

Quad play is when through one optical wire one has facilities of TV, internet, phone and other
banking facilities.

How a DTH works?

In order to telecast DTH charges a little money from the Broadcaster.

Broadcaster
Sells the channel

l DTH/Cable
Adds values to the packages offered

Consumer/Vie
Have optional packages of different ranges and channels.
Lecture#6
Project Cost

Costing is important part which plays vital part for starting a business. It helps you determine
either you want to take loan to start up your business or have partners if you are running short on
your finances. However there is a difference between budgeting and expenditure.

There are two costs of a project

 Capital Costs
 Variable Costs

Capital costs are those which are one time, spent when we start our new business

Variable costs are those which are given on monthly bases and they change with time. Or daily
routine basis

Example

Let’s assume we are starting a newspaper Capital Costs

a) Land
b) transport
c) Office furniture and fixtures
d) License fees
e) Launching in market
f) Printing
g) Labor
h) Services
i) Misc expenses

Variable Costs

a) Raw materials i.e. Ink, paper chemicals and transpires etc.

b) Wages and commissions
c) Power supply bills
d) Kitchen and utility bills
e) Rentals
f) Fuel
g) Lower repayments
h) Promotion and Marketing
i) Electricity charges
j) Entertainment expenses
Lectur#7

Costing of a TV Show

Cost of a show is taking out by adding the following things,

1) Satellite charges on the bases of hours

2) Deprecation Cost of the capital costs
3) Wardrobe
4) Production
5) Host
6) Materials
7) Set/Location
8) License

Example Costing of a Sitcom

Things 6 months cost Per day cost

Set 1000000 10415
Cast 1920000 20000
Wardrobe 960000 10000
Equipment 192000 2000
License 1266720 13195
Crew 1408000 5500
Depreciation 115200 1200
Other 192000 2000
Total 7053920 64310

Different TV channel budget

Lecture #8

Depreciation Cost

Deprecation is the gradual decrease in the life of the asset against its cost

To understand depreciation cost better let’s take an example of a new and a used car. If we are
going to purchase a new car we will be paying the full price however if we are buying an old car we
will be paying the price according to which the car has been used and how much life it has
remaining.

Basically the cost of a product is distributed among the time period in which it has been or is being
expected to use.

Example

To take out the depreciation cost of a camera let’s suppose its cost at the time of buying it was x

The camera is expected to be used for 2 years so we will divide x by 2

The camera is used to shoot 3 programs daily so that makes it 260 programs

So we will divide the result of x by 2 from 260 to get our depreciation cost of the camera

There are different rates for deprecations. And different methods to calculate it

Goal for any organization,

Goals of Organization

To work in any organization it is important that the goals of the cooperation and goals of the
individual are same.

The goals of a company are

 Efficiency
 HR
 Output of all resources
 To maintain public reputation

Basically it is only three words man, money and material.

While goals of an individual are comfort, work friendly environment, decent wages, bonuses, time
management etc.

MBO’s

MBO’s or Management by objectives means that subjectivity of a person is not count but is
determined on his objectivity. It is an ideal work situation.

Lecture # 9

Revenues is also called total profit

The question comes that how a TV channel manages in a country like Pakistan survives where we
do not have any solid idea of subscription. TV channels generate their revenues via advertisements.

Suppose if a TV program of one hour is running and it has 15 minutes space for advertising.

It will charge approximately 25thousand rupees per minute of the advertisement.

So 25,000* 15 = 375000

Then programs also have a small stream of revenues generated via phone calls and text messages.

Advertising-
Usually there are four types of advertising on TV channels

1. Usual Advertising :- Ads run on the time slots allotted for them between the breaks of the
show
2. Direct Branding :- It is like tagging name of brand on the show, buy opening and closing
slots of the break timings
3. Subtle Advertising: - Exposure of the brand on the ground level e.g. Picture and picture,
tails, time checks, Islands and scrolls ticker etc.