Socio-Economic and Inequality

Viacom is an American global mass media company with interests in cinema and cable television. It is the 3rd largest conglomerate (Rosati, 556). They own networks such as, Nickelodeon, BET, and MTV. Viacom launched MTV in 1981 with their first music video “Video Killed the Radio Star.” Today, it can be said that the reality show killed the video star. Reality shows on MTV began to gain popularity in the late 1990’s early 2000’s. Shows such as the real world and Jackass started to gain a fan base and from there came Jersey Shore, Skins, Buckwild and many more. Although MTV [Viacom] is raking in viewers with their new controversial programs, this new dynamic has put MTV back in the youth-culture conversation.Reality shows have helped to increase ratings in its target 18-34 year old demographic.

Viacom is set to increase advertising revenue growth as it approaches the upfront sales period (Flamm, 3). Advertisements are a great way for Viacom to maintain business. Many advertisers want to air their products on networks such as comedy central, MTV, and BET because these networks have a young, susceptible audience.  Beer, acne products, and condoms  are just a few of the popular products that are marketed on these stations. Leading brewers have run ads on MTV at times when half or more of the audience was under the legal drinking age (Ross, 4). This news article discusses the controversial topic inappropriate advertisements on MTV, and asks if MTV has taken it too far. Even though ads such as this are inappropriate, they are producing an economic advantage for Viacom. Another controversial commercial aired frequently on MTV is the Trojan condom ad.

In the past year MTV has aired at least 4 different Trojan commercials. One commercial features a couple snuggling and groaning on the couch while watching a baseball game. While it can be debated that these advertisements are teaching teens to use protection, parents may argue that they are too explicit. However, parents are not the only ones that are worried about these advertisements affecting youth. Attorney and Christian rights activist, Jack Thompson has requested that the U.S army stop advertising on MTV, where he claims that recruiting commercials appear during broadcasts that feature some of the most disturbing, graphic images portraying women as mere sexual objects (Sandler, 215).

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These types of comments and concerns have not stopped Viacom from broadcasting these commercials on their network. This article discusses the contributions of Advertisements to Viacom networks.

This chart displays the net income of Viacom from 2006 to 2013 in Billion U.S dollars. With the exception of 2008 Viacom’s income has been rising. The company generated 13.79 billion U.S dollars.

“We help our clients achieve their business objectives by planning the best possible use of our platforms, deciding which combination of properties is most appropriate and effective to achieve their goal, whether it is to make a sale, change brand perception – or both.” This statement is presented on Viacom’s website and it may provide a portion of an answer to their success.

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Baker, Liana B. “Viacom Posts Higher Fourth Quarter Revenues on Strong Ad Growth.” Reuters. N.p., 13 Nov. 2013.

Flamm, Matthew. “MTV Gets Groove Back.” Crain’s New York Business vol 27.4 (2011): 3-20. Business Abstracts with Full Text. EBSCOhost.

“Net Income of Viacom from the Fiscal Year 2006 to the Fiscal Year 2013 (in Billion U.S. Dollars).” Statista. Viacom, 2014.

“Revenue Generated by Viacom from the Fiscal Year 2006 to the Fiscal Year 2013 (in Billion U.S. Dollars).” Statista. Viacom, Nov. 2013. Web.

Rosati, Clayton. “MTV: 360° of the Industrial Production of Culture.” Transactions of the Institute of British Geographers 32.4 (2007): 556-75. JSTOR.

Ross, Chuck, and Ira Teinowitz. “Beer Ads Had Wide Underage Reach On MTV.” Advertising Age. vol. 68. (1997): pp 4. Business Abstracts with Full Text.  EBSCOhost.

Sandler, Adam. “Army Urged To March Ads Off MTV.” Vol 366. (1997): 215. Business Abstracts with Full Text. EBSCOhost.

Ferreira, Thinus. “TV Shows Hard Liquor Ads to Its Young Audience.” Columnists. Channel24, 31 Jan. 2013. Web.

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