Réponse nope quiz question 51 à 60

Becoming a Broadcasting Leader in 10 Years: A Case Study of Portugal’s TVI—Media Capital Group

Paulo Faustino Autónoma University of Lisbon, Portugal

Jonkonping International Business School, Sweden

The main objectives of this article are to analyse (a) some media group strategic corporate management options, especially within the television segment; (b) as well as identify critical success factors to achieve leadership. Some future challenges are also identified within the scope of new broadcasting technologies such as Internet protocol television, cable, satellite, and digital terrestrial television.

TV Market Context and Development of the TVI—Media Capital Group (MCG)

TVI and the Television Sector in Portugal

The strong influence of the Catholic Church on TVI (Televisão Independente or Independent Television) was evident in minute detail: The first TVI logo—used until 1994—was designed to look like the number four made from a Christian cross. Figure 1 shows the various logos TVI has adopted since its foundation until now.

TVI was essentially broadcasting imported programs in its early years. At a time where Sociedade Indepen- dente de Comunicação (SIC) was betting on less usual, even alternative, programs, TVI was strongly investing in foreign “family” programs and game shows that were popular in other countries. Meanwhile, SIC was betting on Brazilian soap operas, an audience phenomenon of guaranteed success, establishing a strategic partnership with Brazilian TV Globo, the largest soap opera producer in the world.

SIC equally opted for betting on bolder films and series, namely of an erotic character, which aroused the interest of an audience not used to these types of programs because RTP (Radio and Television of Portugal), as a public television station, was not allowed to show this type of content. RTP attempted to do so in 1991, before the emergence of private television stations, when The Empire of the Senses, a film by Japanese director Nagisa

Address correspondence to Paulo Faustino, Director of Media XXI and Director of Master in Media Management, Autónoma University of Lisbon, Visiting Researcher of Jonkonping International Business School, Sweden. E-mail: faustino.paulo@gmail.com

Oshima was broadcast, resulting in a strong controversy between the Church and RTP, given that the former insti- tution defended that a public television station (such as RTP) was not allowed to show films of such a nature, even at late hours. The comment made by the archbishop of Braga, D. Eurico Dias Nogueira, who affirmed to have learned more from 10 min of the film that in his entire life, became famous.

TVI as a Project Associated With the Church and a Project Integrated in MCG

TVI started its activity as the second private television oper- ator in Portugal on February 20, 1993. When Portugal joined the European Union in 1986, the debate on private television channels was brought to the forefront because only RTP had been operating in the country since 1957. In 1989, the Television Law (Law number 58/90 from September 7 revoked by Law number 31–A/98 from July 14, which was subsequently revoked by Law number 32/2003 from August 22) was approved, which “marked the end of the state monopoly and enabled private enti- ties to pursue television activities, under licensing granted by the Portugal Government, following public tender.”1

Approximately 6 years after its foundation, TVI was acquired by the communication group Media Capital in 1998, having initiated a new stage marked by the ambi- tion of becoming a new leading station in Portugal.2

When José Eduardo Moniz became the managing director of TVI, the station started presenting better results, rapidly going from a station doomed to failure to an audience leader in Portugal.

The International Journal on Media Management, 9(4), 151–163 151

1993–1994 1994–1996 1996–2000 2000–2007

Source: Company

Figure 1. Independent Television (TVI) logo evolution from 1993 to 2007.

In 2005, Media Capital (the main TVI shareholder) was acquired by the Prisa Group, a Spanish media group present in 23 countries. The MCG started with a weekly newspaper, Independente,3 having sold this weekly publi- cation in 2001 to Inês Serra Lopes and other shareholders. In the last 6 years this group has concentrated its activi- ties mainly in the television, radio, and Internet sectors. Media Capital’s press holdings consist of magazines and newspapers, including the local partner of the Metro newspaper. The complete holdings of the MCG as of 2006 are presented in Figure 2.