In the Media Industry, Vertical Integration Refers to ______

question 19

Multiple Choice

In the media industry, vertical integration refers to ______.

• A) the process in which a company neither grows economically nor shrinks but over time moves vertically above other companies through a process of buying and selling
• B) the process by which one company buys different kinds of media, concentrating ownership across differing types of media rather than up and down through one industry
• C) the process by which one owner acquires all aspects of production and distribution of a single type of media product
• D) the idea that the media environment is quite different largely because of the vast size of the U.S. media industry but that private media ownership can be a huge political asset in the United States too if it is able to move in the right directions

---

Definitions:

Future Interest

A legal right to property ownership, possession, or enjoyment that begins at a future date.

Effective Interest Method

A technique used in accounting to allocate the discount or premium on bonds payable over their life to interest expense, reflecting a constant rate of interest.

Semiannual

Happening every six months or twice annually.

Par Value

The nominal or face value of a bond, share of stock, or another security, as stated by the issuer.