Virtual cartels, oligopolistic structures Global networks require global technical standards ensuring the compatibility of systems. Being able to define such standards makes a corporation extremely powerful. And it requires the suspension of competitive practices. Competition is relegated to the symbolic realm. Diversity and pluralism become the victims of the globalisation of baroque sameness. The ICT market is dominated by incomplete competition aimed at short-term market domination. In a very short time, new ideas can turn into best-selling technologies. Innovation cycles are extremely short. But today's state-of-the-art products are embryonic trash.
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Public Relations and the Advertising Industry The public relations industry, the same as advertising, is concentrated in the hands of few dominant firms. Still, the striking element about corporate public relations is that PR firms are tightly related to advertising companies. Nine out of the ten biggest international PR agencies have close ties with the advertising industry. Also, looking at the largest acquisitions involving U.S. PR firms from 1997 to 1999 it is apparent that money coming from advertising agencies has played an important role. Table: Top 10 PR Firms 1998
With many PR agencies sold to advertising companies, the advertising industry's influence further increases; enabling them to offer their clients not only advertising services, but also know-how in marketing, public opinion, crisis and issues management and political lobbying. Table: Acquisition of PR Agencies (1997 - 1999)
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Public Relations and Propaganda Public relations usually is associated with the influencing of public opinion. Therefore it has subsequently been linked with propaganda. Using one of the many definitions of propaganda "... the manipulation of symbols as a means of influencing attitudes on controversial matters" (Harold D. Lasswell), the terms propaganda and PR seem to be easily interchangeable. Still many authors explicitly distinguish between public relations, advertising and propaganda. Unlike PR, which is often described as objective and extensive information of the public, advertising and propaganda are associated with manipulative activities. Nevertheless to treat public relations and propaganda as equivalents stands in the tradition of PR. Also institutions like the | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Virtual cartels; mergers In parallel to the deregulation of markets, there has been a trend towards large-scale mergers which ridicules dreams of increased competition. Recent mega-mergers and acquisitions include SBC Communications - Ameritech, $ 72,3 bn Bell Atlantic - GTE, $ 71,3 AT&T - Media One, $ 63,1 AOL - Time Warner, $ 165 bn MCI Worldcom - Spring, $ 129 bn The total value of all major mergers since the beginnings of the 1990s has been 20 trillion Dollars, 2,5 times the size of the USA's GIP. The AOL- Time Warner reflects a trend which can be observed everywhere: the convergence of the ICT and the content industries. This represents the ultimate advance in complete market domination, and a alarming threat to independent content. "Is TIME going to write something negative about AOL? Will AOL be able to offer anything other than CNN sources? Is the Net becoming as silly and unbearable as television?" (Detlev Borchers, journalist) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Actual Findings on Internet Advertising Although Web advertising becomes a significant portion of marketing budgets, advertisers are still unsure on how to unlock the potential of the Internet. Current findings show that: - Consumer brands spend only a fraction of their advertising budget on on-line advertising. - Technology companies spend five times more on advertising in the WWW. - While banner campaigns are still popular, there is no standardized solution for on-line advertising. - Ad pricing is based on CPM (costs per 1.000 visitors), rather than on results. - Personalized targeting has not yet taken hold. Instead advertisers mainly target on content. At the moment three dominant models are used for Internet advertising: Destination Sites: They use entertainment, high production values and information to pull users in and bring them back again. Micro Sites: Content sites or networks host small clusters of brand pages. Banner Campaigns: Those include other forms of Web advertising like sponsorships. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Electronic Messaging (E-Mail) Electronic messages are transmitted and received by computers through a network. By E-Mail texts, images, sounds and videos can be sent to single users or simultaneously to a group of users. Now texts can be sent and read without having them printed. E-Mail is one of the most popular and important services on the Internet. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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DMCA The DMCA (Digital Millennium Copyright Act) was signed into law by U.S. President Clinton in 1998 and implements the two 1996 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Local Area Network (LAN) A Local Area Network is an office network, a network restricted to a building area. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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America Online Founded in 1985, America Online is the world's biggest Internet service provider serving almost every second user. Additionally, America Online operates CompuServe, the Netscape Netcenter and several AOL.com portals. As the owner of Netscape, Inc. America Online plays also an important role in the Web browser market. In January 2000 America Online merged with Time Warner, the worlds leading media conglomerate, in a US$ 243,3 billion deal, making America Online the senior partner with 55 percent in the new company. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Adolf Hitler Adolf Hitler (1889-1945) was the head of the NSdAP, the National Socialist Workers' Party. Originally coming from Austria, he started his political career in Germany. As the Reichskanzler of Germany he provoked World War II. His hatred against all non-Aryans and people thinking in a different way killed millions of human beings. Disinformation about his personality and an unbelievable machinery of propaganda made an entire people close its eyes to the most cruel crimes on human kind. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Frederick Taylor b. March 20, 1856, Philadelphia, Pa., U.S. d. March 21, 1915, Philadelphia American inventor and engineer who is known as the father of scientific management. His system of industrial management has influenced the development of virtually every country. In 1881, he introduced time study at the Midvale plant. The profession of time study was founded on the success of this project, which also formed the basis of Taylor's subsequent theories of management science. Essentially, Taylor suggested that production efficiency in a shop or factory could be greatly enhanced by close observation of the individual worker and elimination of waste time and motion in his operation. Though the Taylor system provoked resentment and opposition from labor when carried to extremes, its value in rationalizing production was indisputable and its impact on the development of | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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William Gibson American science fiction author. Most famous novel: Neuromancer. For resources as writings and interviews available on the Internet see http://www.lib.loyno.edu/bibl/wgibson.htm | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Edward L. Bernays Born 1891 in Vienna, Bernays was one of the founders of modern public relations. An enigmatic character, he was a master of mise en scène with far-reaching contacts in the world of business and politics. The nephew of Sigmund Freund and related with Heinrich Heine, he was also among the first to pursue PR for governments and to produce pseudo-events. Bernays considered the manipulation of public opinion as an important element of mass democracies and was of the opinion that only through PR a society's order can be kept. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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