Track: Modeling and Simulation

Abstract

Media companies create and distribute media products that have distinguishing features that set them apart from competitors. There are two parts to media products. The first is the immaterial journalistic product, and the second is the material carrier that transports the content. This study contributes to the literature by investigating the effect of business diversification on broadcasters' reliance on advertising revenue. Three broadcaster conglomerate that owned 79,5 % of Indonesia's TV audience were observed in this study. Furthermore, their featured contents to sustain the business from the previous five years are displayed to determine which content genre is more profitable for Indonesian audiences. The result shows that Indonesian broadcasters continue to rely heavily on the advertising business model. Broadcaster who has expertise in entertainment content gain more TV share compared to news TV station.