what companies were involved? What is the ownership
information for the companies involved
Time Warner owns Warner bros which makes it a subsidiary
Warner bros has brought flixter which own rotten tomatoes
Warner bros has bought/took over the website flixter. Flixter owns the review site
rotten tomatoes which means Warner bros now own both.
Rotten tomatoes used to be owned by Rupert Murdoch's news corporation, but then
sold rotten tomatoes to flixter in 2011.
When and why did the deal take place
Flixster has been the parent of website Rotten Tomatoes since January 2010.Flixster,
including Rotten Tomatoes, was acquired by Warner Bros on May 4, 2011. Warner
bros brought flixster as they want to expand into the area of digital content ownership
into the business. Digital content for example is websites on the internet, Warner bros
owning flixster means that they will own digital content. As rotten tomatoes is a
review site they will be in charge of overall reviews made, this means that some
reviews could be biased.
3) How has the deal increased the power or influence of the
company within the film industry – is there any evidence of a
monopoly or oligopoly – if so please explain?
The deal has increased power in Warner as they have power over the two websites.
Flixster is a websites that lets people rent and buy films that you can watch online or
on an app, as they have power over the website they will only show films that they
want to so this will give them power and also influence over other film producers. As
flixster isn't the biggest film rental sight i wouldn't say they where a monopoly as they
don't dominate the market. Also Warner will own rotten tomatoes, rotten tomatoes is
a review site for films. I would say that they are a monopoly when it comes to rotten
tomatoes as they are the most popular review sites. This gives them power over other
What do you think the impact will be on the
other major film companies?
The impact Warner bros will have from buying flixster and rotten tomatoes will be that
that this puts them at an advantage on other film companies as they know have a
review site and a film rental site. Other film company may also start making or buying
review sites to keep in competition with warner bros as they are such a big company.
What are the key issues with this ownership deal find at least 3 issues- this will
require you to research.
An issue with warner bros owning flixster is that it could possibly have biased reviews
on the website of their films that warner bros have made. They may also write bad
reviews for rival film companies
summarise what you have learnt about how ownership
practices work within the film industry.
Ownership can change a lot throughout the film industry, companies take over
other companies frequently. Also if a company is a subsidary they wouldn’t have a
say in who there new owners would be I there overall company was brought.
Companies buying other companies keeps them in competition with other
How film industries makes money from audiences?
Product placement is an advertising technique used my companies to promote their products in films, TV and
music videos. When using product place there is an
agreement between a product manufacture and the media company in which the media company receives
economic benefit. A company will often pay a fee to have their product used, displayed, or significantly featured
in a movie or show.
Spider man – dr pepper
Hang over 2 – Louis vuitton
I robot - converse
The internship - Google
Top gun – ray bans
Transformers- burger king
How does product placement help films to make
money (explore a big blockbuster film)?
Product placement helps films to make money as companies will pay money to have their
product shown within in a film e.gcoke,pepsi.
For example when making back to the future universal created a product placement
department that would contract with different advertisers to put an item in the film.
Back to the future used many product places from cars to trainers to drinks, each product
placement could cost £15,000 or more, this is how films make money from product
Where do Independent film companies get their
Most independent film companies do not have allot of money so they are normally I
need of funding. Funding can sometimes come from their own money or possibly family
Film4 is committed to enhancing the British film making industry by nurturing and
funding new talent, they have funding schemes to help out independent film
There are also organizations set up to help independent film companies to make films
for example kick-starter is a website which you can to put forward an idea online and if
people like it they will donate you money to help reach the target needed to make the
Other possible ways of funding are
• Uk film council/Local councils
Explain how sponsorship deals work within the film
Air new Zealand are a sponsor of the hobbit, this happened as new Zealand is where
the hobbit was filmed. To promote the hobbit they have mad special edition planes
they have hobbit features on their plane for example a hobbit themed safety video