Group 7 Carla Marcorio Christian Bjørnli Dennis Ly Rohit Navale.

Group 7

Carla Marcorio Christian BjørnliDennis LyRohit Navale

HISTORY

• Established in 1981 • Based in New York, USA• MTV is a global media network with a channel

reach of 1.4 billion people• Owned by VIACOM, it has other channel

partners such as Nickelodeon and VH1

• European market in 1987• In 2004, MTV possessed 72 channels in 140

countries• MTV airs over 32 languages through 133

locally programmed and operated TV channels• Everyday 2 million people are watching MTV

around the world, the majority outside the US

Competitive Power

• From Off-site to On-site human recourses

• Competitive power by including local

• Office of global Inclusion, as well as including diversified teams.

• Location Factors

• Innovation: Mobile Entertainment

• Location Factors again

The Downturn• Aired only American programs with English speaking VJ’s

which did not fit the taste and preference of Europeans

• Only a handful of global superstars were attractive while mainly local stars were preferred amongst Europeans

• MTV failed to recognize this, consequently, it went in to a decline stage

• Local copy-stations in Europe emerged

The Success• MTV changed its corporate strategy in 1995

• MTV utilized an approach called “Localization Strategy” which would adapt to local differences across nations

• It still preserves its standardized look and feel originally from the U.S through solid establishment of company culture and operating principles by expatriates

• Now the MTV network caters for example:– Mandarin feeds for China– Japanese for Japan– English-Hindi for India

• MTV captured about 70% of European advertising revenue from 1996 – 2000

• India alone had an increase of 700 % from 1996 – 2000

• Demonstrates greater success in Asia where two-thirds are younger than 35 years old

• Generates more than $2 billion dollars outside the U.S

• MTV still airs local programs to maintain its popularity such as – MTV Bakra (a real life comedy scene)

Conclusion

• MTV is now one of the biggest music channels

• Targets mainly young segments

• Has demonstrated a substantial innovative realization of changing natures

• Has still growth potentials

Recommendations

• Enhance distribution channels– Adaptation of mobile devices – Implement alternative centralized offices

• Vertical expansion of merchandising• Verbal impact through environmental friendly

trends• Integrating interactive live communications

with TV-shows