The Effect on Ownership, Consumption, Culture and Globalization of TikTok

1. Political Economy Analysis:
Prepared by :NurSyazreen binti Wahid Marican
(2020712587)
Class : COM721_2B
Prepared for : Dr. Syifa
The Effect on Ownership,
Consumption, Culture and
Globalization of TikTok

2. CONTENTS
02 03
04 05 06
INTRODUCTION HISTORY OWNERSHIP
TO CREATE OR TO
CONSUME?
TIKTOK: Lockdown
Culture
US vs CHINA MEDIA
GLOBALIZATION
01

3. INTRODUCTION
01
• What is TikTok, and why has it
become so popular?
• 800 million active users
worldwide with over 2 billion
downloads on the App Store and
Google Play.
• now competes with Facebook
(2004), Twitter (2006) and
Instagram (2010).

4. SHORT HISTORY
July 2014
Musical.ly, originally
called “Cicada”, the
app was failed
rebranded as
Musical.ly
- combines music
and videos.
Lip-sync videos (Triller
and Dubsmash) were
gaining popularity,
unable to drive traffic to
their platform.
ByteDance
released the global
version of Douyin,
TikTok.
ByteDance “Douyin”, a
video-sharing social
networking service similar
to Facebook and
Instagram (both are
banned in China).
May 2015 August 2018
September 2016
2012

5. A PICTURE IS WORTH A
THOUSAND WORDS
In a statement issued in August, ByteDance said it
had “taken extraordinary measures to protect the
privacy and security of TikTok’s US user data” and
was planning to create 10,000 jobs in the US.

6. OWNERSHIP
• Oracle will take a 12.5% stake in TikTok and run cloud services
and security for the app.
• Americans have a 4-1 majority on the board of TikTok Global,
while ByteDance shareholders — which include American,
Chinese and international investors — own a majority.
• Oracle own 12.5% of TikTok Global, and Walmart own 7.5%.
ByteDance retains some control over the product’s core
intellectual property.
• Oracle would be able to look at TikTok’s source code and
block any updates that seem problematic from a security
standpoint, ByteDance retains control over the TikTok
recommendation algorithm (decides which videos to
recommend next) - critical factor in the app’s popularity

7. “The deal was mainly designed to entertain
demands from the Trump administration,”
said the source, who declined to be named.
“But Trump is gone, and the raison d’être of
the deal is gone with him.”

8. • First principle: Chinese government made
clear through an updated export control
law.
Second Principle – political

9. CONSUMPTION:
TO CREATE OR TO CONSUME?

10. TO CREATE OR TO CONSUME?
TO CREATE TO CONSUME
• Friendly-used feature, short video,
“Duet”, allows users to record
themselves alongside existing
TikTok videos in a split-screen
format.
• Audio preference
• Easy to create any challenges to
go viral on TikTok.
• Easy for users to build
their online presence.
• New TikTok users could select
what they want to see on the app –
(comedy, food, sports, DIY, animals,
etc.)
• “For you page” uses an algorithm to
showcase content that’s personalised
to the user based on their past activity.
• Videos with good user engagement
(likes, shares, watch time) will be
pushed to more users with similar
interests
• TikTok’s philosophy: good content
will travel far.

11. TIKTOK USER ENGAGEMENTS
each user spends an
average of 52 minutes per
day on TikTok
TikTok users access
the app on a daily basis
TikTok users are aged
between 16 and 24.
1mil videos
/day 90% 41%

12. Mediatised platform with a social network enabled among users.

13. TikTok:
Culture during
Lockdown
According to data gathered by
Learnbonds.com, TikTok has
recorded an all-time high
number of downloads of 200
million for the first quarter of
2020.

14. DATA RECORDED
Most Download: On
March 2020 (75.5 mil)
Growth: 25% compared to February 2020
ALGORITHM: only a
selection of content was
visible to the user.
Easy to share to other
medium/channels
CONVENIENCE:
users explained that
their preference for
TikTok because the
short-form videos
TRAFFICS: Designed
specifically for users by
creating more app traffics
in shorter intervals of time

15. ANALYZING THE CULTURE
FOR YOU PAGE ADDICTIVE FAKE IT, UNTIL MAKE IT
It’s full of things that
you seem to have
demonstrated you
want to watch
encourages users to jump from
audience to audience, trend to
trend: to share an inside joke; to
riff on a song; to talk idly and
aimlessly about whatever is in
front of you.
Why not just start
showing people
things and see what
they do about it?

16. U.S vs CHINA
MEDIA
GLOBALIZATION

17. CHINA MEDIA GLOBALIZATION
MAJOR GLOBAL
BRANDS BY U.S
Apple, Google,
Microsoft
“SOFT POWER”
Main objectives: to spread
a culture, language, or
global cinema, sport and
music hits.
THE CHINESE
DOMINATION
Top power in
industrialization and
manufacturing

18. • Uses & Gratifications Theory
• Cultivation Theory
• Spiral of Silence Theory
THEORY

19. RELATED THEORY
U & G
CULTIVATION
SPIRAL OF SILENCE
• Why people use
social media?
• social interaction,
information seeking,
pass time,
entertainment,
Repeated exposure
to media over time
influences perceptions
of social reality.
Used to describe the
isolation of minority
opinions when seeking
help from
traditional media /
majority opinion.
• relaxation,
communicatory
utility
convenience
utility
expression of
opinion
information
sharing
knowledge about
others.

20. CREDITS: This presentation template was created by
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THANKS
Does anyone have any questions?