Financial Analysis of two companies belong to Media and Advertising.
Paper Contents
Part A - Company Introduction & Summary
Company Summary - (ITV) Network
Company Summary - WPP
SWOT Analysis - (ITV) Network
SWOT Analysis - WPP
Part B - Company Introduction & Summary
Financial Analysis - (ITV) Network
Financial Analysis - WPP
Part C - Market Line Equations
Conclusion
Company Summary
(ITV) Network
ITV is ranked as one of the leading commercial TV network in UK. It is founded in 1955 under flag of (ITA) Independent Television Authority in order to compete with BBC who is gaining more viewership; (itv) is also crowned as one of the oldest Commercial television of UK. The name of the channel has been changed to Channel 3 after the TV broadcasting Act 1990. There is a reason behind naming the channel as (Channel-3) the reason is that the company wants to differ themselves from the name of BBC-3, BBC- 2 and Channel 4. ITV is complete network of television operating in a number of regions throughout the UK.
WPP
WPP plc is a British giant involved in the business of advertising, publication and public relations. The head office of WPP is located in Central London, UK whereas the regional head office of the company is located in Dublin. According to Bloomberg, WPP is one of the largest marketing and advertising company of the world and is recognized as the British proud. The company is composed of a workforce of around 162,000 employees all around the 3000 offices located in more than 110 countries. The company also has stock status that is it is registered in London Stock Exchange for the purpose of open trading.
Company Information
Head Office ITV plc, the London Television Centre Upper Ground
Phone 44 20 7157 3000
Web Address http://www.itvplc.com
Revenue / turnover 1,879.0 (GBP Mn)
Financial Year End December
Employees 4,026
London Stock ITV
SWOT Analysis of ITV Plc
Strengths Weaknesses
Prominent market position Lack of scale
Strong production content
Opportunities Threats
Growth in UK broadcasting and cable TV marketintense competition
Technological changes
Positive outlook for online advertising Prolonged economic recovery in the UK
Expanding into pay TV market
Strengths
Prominent market position
ITV possesses a significant and prominent position i9n the whole market. It is also termed as one of the largest UK funded advertising network.
The company has proved some outstanding results in 2009 which has increased the ratio of its viewership even the market is not in a good condition.
The market share of itv stood at 45% as compared to the other market competitors.
With respect to annual revenues and increase in viewership ITV-1 is regarded as one of the best channels in UK.
Despite of the severe competition and strong position of BBC, ITV-1 in the peak time earns greater market response.
ITV1 annual statements show those 16.6% and 26.6% shares of the cumulated viewing in UK in 2009.
In the peak hours of broadcasting, ITV1 remains on most integral position of 23.7% in 2009, nearly twice the share of its close competitors,
In the total television market of advertising in U.K, the altogether share of ...