Quiz - The Day the Music Died

1.The author of this article, Andrew Keen, believes the there are “grave” consequences as a result of today’s participatory “Web 2.0”, such as threatening our values, economy, and creativity. Describe in detail 3 of the American “institutions” (values, economic institutions, etc) that Keen feels are threatened in this chapter, and explain why he feels this way.

One of the first values Keen discusses is the value we place on media. He points out how it is apparent that the value consumers place on media has significantly diminished which can be seen by the influx of pirated material. As Keen stated, “…companies simply can’t make money by providing high-quality content – be it music, movies, or news – for free.” With programs like Limewire, and the placement of news and television shows in the Internet, it’s almost impossible to create any revenue. Whereas respect used to be shown to media artisans through the purchasing of their material, today in the Internet age, that respect has fallen to the side as consumers care more about what they can get for free.

I feel as though piracy is a huge issue. I know that I have previously downloaded music for free because it is so tempting. However, I’ve grown to feel that piracy is a huge issue and it’s disappointing to see how many consumers take advantage of the entertainment industry. Media artisans put a lot of work and effort into creating things for our society and we have taken advantage of the many media outlets and venues we have. Furthermore, we have lost the idea of respecting their work and talents.

Keen also mentions the economic effects of society’s lack of value attributed to the media. As a result of the Internet, the movie, newspaper, book, and record industries have all take a very hard hit. Movie theaters have seen decline in ticket sales as bootlegged and pirated copies of the film pop up on the Internet just hours after a release. Internet movie rental companies have demolished brick and mortar stores such as Video Source and Blockbuster. More and More people are moving to the Internet to get their news. Not only can they read the majority of the news for free on different news sites, but many sites also offer movie clips which is resulting in further loss of television news viewers. Furthermore, sites such as YouTube offer news clips for free as well. The loss of small bookstores has also been a result of the Internet. As the huge chains movie to the Internet, they can offer deals and low prices on a larger inventory that small stores just cannot provide. Consumers have made cost and convenience their number one priority. No longer does the personal aspect and high level of knowledge of sales people matter to consumers the way it used to. Sites like Amazon.com offer great prices on not only books but music too. For those that do actually purchase their music, many people have stopped going to record stores and instead moved online. As the use of mp3 players has risen, fewer and fewer people purchase an actual CD and instead download the music from the internet. This has caused not only small record stores, but huge national chains to close as a result.

I agree that the Internet has caused some serious financial issues for the media industries. As I said before I find pirating upsetting and thus agree with Keen when he speaks about the negative affects the Internet has had on the movie and music industries. The news industry has also been hurt because all the different corporations were too intent on competing with each other and offered more and more benefits for free. Now they’ve moved so much to the Internet that in some ways it may be their own fault. I also feel as though society as a whole is currently into a very independent and anonymous state of mind. Consumers are not concerned so much with face to face and physical interaction with each other as before and this is probably due to the Internet. However, I believe that at some point, society will want to get back to legitimate interaction and when that time comes, small book stores, music stores and movie theaters will flourish. Consumers will again place high value on real customer service.

The third institution Keen discusses is the value of culture. Unfortunately, consumers no longer attribute much value to culture as we have been inundated with so much media that it’s difficult to discover what is legitimate and what is not. Today, companies make so much money off of providing us with second rate media and services that are pure profit makers. No longer do the most profitable companies create a tangible benefit for society. As Keen explains, Google did not create enough of a valuable service to make the amount of money that they do. He states, “In terms of value creation, there’s nothing there apart from its links. The core of Google’s business, 99 percent of its revenue, lies in its sale of advertising.” The current most successful companies are the ones which have a “bring-your-own-content” business model. Facebook, Myspace, YouTube, and SecondLife are all extremely profitable companies, but all they really created was a place for people to put their own content.

In some ways I see what Keen is saying. Many of the most profitable companies today do not provide society with a benefit worthy of their profits. Society isn’t getting buildings, bridges, or school systems. They’re just getting a place to put their own thoughts and content. On the other hand, it is difficult to accuse these companies of providing service of low value when it is obvious that society and consumers want it. The number of people who use these sites is enough to prove their worth.

2. In this article, the author makes a reference to Sir Thomas Moore’s satirical novel from 1515, Utopia. Explain what the idea of “the sheep are devouring men” means and explain how Keen relates this to the Web 2.0 world. Please use an example from the reading or another source to illustrate your answer.

When Keen makes a reference to Sir Thomas Moore’s Utopia, he points out how “the sheep devouring the men” refers to how average consumers are taking control over media specialists. We as a society used to follow media specialists, whether they were news reporters, musical groups, movie directors, actors or authors, and accept their talents. Now, consumers have taken a step forward by creating their own media. Whereas journalists were once given high value for their work, today any consumer can write an article. Before, television show producers and directors were highly respected. Today, many average people create their own television shows and broadcast them on the Internet. The only people who escape being devoured by consumers are the owners of the very sites these consumers take control. Unfortunately, the actions of consumers today may put media specialists’ occupations in jeopardy.

Growing Up Online

I found "Growing Up Online" to be really interesting. Middle school and high school are eras of change for every adolescent, and as the Internet grows to be more and more a part of each aspect of everyday life, it is interesting to see how it effects everyone individually. The two stories that had the biggest impact on me were the young girl with the eating disorder and the young boy that committed suicide. I had done a research paper last year on eating disorders and found several websites that were 'pro-ana'. It was tough to look at them and see how so many people truly felt that an anorexic way of life was not only good, but the right thing to do. The internet provides so much information, but sometimes it's not always a positive thing to have so much information so readily available to anyone. Directions on how to not eat, how to build bombs, how to commit suicide, all of this information is out there and waiting to be read and often read by the wrong people. I think it would be interesting to see how much influence the Internet has over people's actions.

As the documentary stated, the Internet has allowed for communication to occur 24/7. It's tough for students today, because not only do you have to keep up and communicate with everyone at school, but it now infiltrates into the home as well. You can't leave school and leave behind the teasing or the bullying, because now it follows you home. When you constantly hear things, it's easy to start believing them. It's unfortunate that so many teens have taken drastic actions as a result of internet bullying.

I find it interesting how social networking sites are supposed to be all about an easy way to express yourself on the Internet, but it appears that it has just created another norm that teenagers have come to conform to. Having the most friends, the prettiest pictures, the coolest quotes, the most wall posts have become the newest fads. No longer do you only need the newest shoes, or the coolest jeans, but you also need to have the hippest social network page. And not only do you have to appear cool, but these sites look into your information to decide what type of advertisements to show you. Interested in dance? I can guarantee you'll have ads for dance studios or dance attire companies on your page. And I bet they're in your area too.

I feel as though I'm in between the current adolescents growing up in the Internet age, and the parents of these teens. I can see why they don't understand it because they grew up in a very different time. It's also funny for me to think about trying to fit in on the Internet as so many teenagers must feel today. I couldn't jelp but laugh when the three young teenage girls were describing Internet friends and how you may have 400 friends, but you only actually know 200 of them and you're actually only best friends with 20. I think it would be very time consuming have 20 best friends. So in that respect I can see why parents don't fully understand what it is about the Internet that causes teens to spend so much time on it every day.

On the other hand, it's part of everyday life these days, and parents like Evan have to chill out. She was an extremist and it was obvious she feared the Internet was the demise of all young people, but I can tell she was extreme about parenting in general. However, the Internet is something that is used on a daily basis, often in lieu of other forms of media or even other forms on information. As one of the teachers said, we can't fight the internet, we just have to figure out how to continue within the its presence.

The Persuaders

1. Where are we headed? What's the future? What are your thoughts on how far the techniques of persuasion might go?

In some ways it appears that advertising techniques are moving in the same direction as consumers are. Today, consumers want customization. They want options on every product, they want to be able to tailor the product to fit their exact wants and needs and companies are complying. Never before has there been such a plethora of options. Thus, it's interesting to think that advertising is really just complying with what consumers appear to want. Now, alongside all their customized products and services, consumers are receiving customized advertising. With companies like Acxiom which research, quantify and coordinate consumers into specific groups, corporations can create advertisements which directly target specific groups of consumers. We've moved from being able to personalize direct mail letters to being able to forecast buying patterns of consumers. So in some ways, it can appear that the types of advertising we receive is exactly what want, customized just like our car, iPod, insurance policy. On the other hand, that same hypotheses can be reversed. Perhaps consumers want customized products and services because they are so used to customized advertising.

I think customization of advertising will continue for some time. It appears to be working and if corporations use their demographic information tastefully I don't think there will be many problems. It's easy to think that the information these companies are compiling together is too personal and may be taking advertising too far because it's scary to think that people and corporations can know so much about you without you purposefully providing the information. On the other hand, what's so wrong with customized advertising? Now consumers are receiving ads for products and services they are actually interested in. Information is more readily accessible and available because consumers are more aware of its presence since it is information that pertains to their lifestyle and buying behavior. I suppose much of the issue has to deal with how much power of persuasion companies have over consumers. I think that because I grew up in the information age, with so much data available to me through the internet that I have a hard time understanding why some believe companies have such power in controlling consumers purchases. Thus, because people are able to easily research products and services and find information from outside resources and other consumers, the amount of power held by corporations is diminishing. Since they have less power, they have to create superior products and that is actually beneficial to consumers. And further, they have to be aware of who would actually be interested in their products in the first place. I think should this practice continue, it will actually decrease advertising clutter and provide consumers with valid information they would be accepting of and maybe even grateful for.

2. Is there something distinctive in the American character that makes us susceptible to this world of advertising and messages? "The Persuaders" program explores the idea that Americans are seeking and finding a sort of identity in buying/joining a brand. What is this about?

I think that as Americans we do feel the need to have a specific identity. Technically, we are a young nation of immigrants when compared to countries in Eurupe and Asia which have survived for thousands of years, and are thus still defining ourselves. We're a large country spanning five time zones, and encompassing deserts, beaches, mountains, and plains. With such a vast array of peoples and places, it is understandable that we feel the need for a strong personal identity. With the high prevalence of consumerism in our society it is also understandable as to why we turn towards brands and products to find that identity. Older, smaller countries already have strong identities and their people turn towards their history and their culture to assist them in defining themselves. The one thing that has transcended American culture from the beginning is the want for a better life. But wanting more is not enough of a culture for Americans to define themselves, it just leaves them wanting more. Thus, we turn towards products, services, brands and experiences to define ourselves.

3. What are the common elements in the persuasion/selling strategies of advertising and marketing? And how can we move about in this world with a degree of self-awareness as to what's happening, especially since all these messages are increasingly trying to move us to act and make choices on an emotional level?

Features tell, benefits sell. The act of persuading consists of providing enough information and reason for someone to change their mind to agree with you. Companies looking to persuade consumers must provide enough reason and information to get them to purchase their product over a competitors. However, every product is trying to beat out its competitor and will thus each have their own benefits, so companies must persuade consumers with emotion. Creating an emotional attachment to a product or brand is extremely profitable for companies. Making a consumer smile, or their heart rate to increase, or even shed a tear, will create an emotional attachment to that brand. Humans act based on emotions more than logic. As stated in the film, humans think and act on emotion eighty percent of the time, using intellect only twenty percent of the time.

Because companies are attempting to reach us on an emotional level more than ever before, it seems as though soon we won't be able to control our purchasing behavior eighty percent of the time. Realistically, this isn't practical. We are bound by limited resources. Thus, we are bombarded by ads trying to tap into our emotions constantly and are unable to act on them. I think what will result is emotional detachment from ads and advertising will as a whole become less effective. Being completely surrounded by ads on an everyday basis makes them less compelling. Studies already show that the presence of advertising clutter makes the ad dollar less effective and I think the overuse of emotional advertising will make them even less effective.

The Merchants of Cool

Targeting teenagers is extremely expensive, but ultimately it pays off. Teens spent $150 billion dollars in 2000, who knows how much spending power they have today. Understanding teenagers and being able to reach them is tough because the culture of young people is always on the move. It changes monthly, weekly, even daily as teens are finicky and always redefining themselves. Thus, companies wishing to target teenagers have found that they need a very specific type of market research in order to truly comprehend how to market to teens. What corporations have started to do is send out the "hunters of cool". These people do focus groups, ask questions on the streets, attend parties, or even just sit back and watch teenagers to find out what is hip and now.

I have mixed feelings on the concept of cool hunters. As a business marketing major, I see the need for reaching teens because of their spending power. On the other hand, it's also somewhat deceptive and conniving. Everyone knows that teenagers are self-conscious, susceptible to peer pressure, in a hurry to grow up, and unsure of themselves and their place in the world. I feel as though the amount of advertising targeted at teens is not only overwhelming but enforces all of these negative aspects of adolescence. The models in all the advertisements are often much older, pushing teens to want to grow up as quickly as possible.

The amount of advertising directed at teens is just overwhelming. There are ads in almost every aspect of the lives of adolescents. I think it would be interesting to do a study comparing the effect of ads on teenagers in 2000 compared to the effect of ads today. I feel that having grown up in the internet age, I am actually less affected by ads because I've been bombarded with them so much that I began ignoring them. I think that the hunters of cool have an even more difficult time reaching teens today than just eight years ago. The typical, old school methods of advertising are beginning to be less effective. The way teenagers deal with media is different than ever before. In fact, teenagers, who were known for watching a significant amount of television are no longer watching tv the way they used to. With tv shows streaming in the internet at any time of the day, teens have stopped watching regular television shows and instead watch the episodes online when they have the time. I recently read an article about the new hit show Gossip Girl on the CW and how they had to re-structure their entire promotional compaign because their television rates were terribly low but they had a huge following online. They attempted to get more people to view it on tv at its regular time by taking it off their online media player however, that turned out to be a disaster. Their prime time ratings did not improve and instead viewers got upset at being unable to watch it online. Pirated websites became flooded with teens trying to get their Gossip Girl fix by any means possible.

The internet and cell phones have truly changed how teenagers handle media and how corporations can reach the teenage market. Corporations really have to figure out how to reach teens without being annoying or too intrusive. Pop ups and text messages are not the way to reach teens, they're a way to frustrate them. Instead companies like yahoo and google who take into account what topics and products people search for and then provide subtle advertisements which incorporate that information are proving to be effective and useful. It's obvious that people looking to market to teens must always stay on top of their game. Being up to date with the current trends is imperative to maintain a connection with teens and finding new and innovative ways to reach them is the only way to maintain the high level of teen spending in today's economy.

How Do Media Professionals 'Know' Their Audiences?

The shortening of audience attention spans and lack of interest in 'hard news' has caused most of the news networks to commercialize news their content. Because of the introduction of the Internet as a source of news and the high volume of different news stations, competition in the industry is extremely high. News networks cannot risk turning audiences away because there are so many other competitors to which viewers can turn. Thus, it is obvious how imperative it is for media professionals to know and understand their audience's wants and needs.

In the search to discover what it is that audiences want, many media professionals perform qualitative research. Stuart Hall' encoding and decoding method looks at both the production and reception of media messages. There are four different codes which are used to create meaning by both media professionals and audiences: the dominant code, the professional code, the negotiated code and the oppositional code. The dominant code includes audiences who interpret a message in the same way the professionals presented it. The professional code deals with how the professionals produce the media so that it tells the story in the dominant code. The negotiated code encompasses audience members who accept the majority of the news story but refute any ideas or messages which don't fit inside their world views. Lastly, the oppositional code contains audience members who do not accept the intended meaning of the message at all. With the use of Hall's encoding and decoding method and looking into the political, economical, technological and social norms of the current society, media professionals can gauge what information is relevant to the audience's wants and needs as well as the best way to produce and supply the information.

While in some aspects, the media professionals do look to their audiences for interests and responses, often times what makes up the media's content is out of the media professionals immediate control. As the book states, professionals can be constrained by organizational and external factors. The culture and ethos of an organization can have a strong impact on what information and news gets placed into the media. Additionally, the monetary power of advertisers and sponsors can also have a big impact on what the media content encompasses. Media professionals may also feel pigeonholed into safe, easy topics for fear of negative audience reactions. While media professionals may spend a lot of time researching to find the best news and information for their audiences, they may not even be able to provide exactly what the audience wants.

Pixel v. Vector Quiz

Money As Debt

I found Paul Grignon's movie, "Money is Debt", to be really interesting and enlightening. It's always surprising to learn something new about a concept that seems so simple. The fact that had the most impact on me was that more than 95% of money used today is created by bank credits and less than 5% of money used is actually produced by the US Mint. The idea that so much of the money that circulates throughout our country is in a sense, non-existent is baffling. It's also interesting that the little money that is produced by the Mint isn't even backed by anything but the government's word.

Because the money created for our use is primarily produced by banks, the bankers control the economy. Therefore, they decide who gets money and who does not. The whole idea that we have a free economy and are a capitalistic society is refuted because private banks are holding the reigns behind the scenes. Thus, the future of industries depends bankers and their decision as to whether or not to lend money or at what price.

When learning about this concept, the first thing thought about was whether or not we should pay off all the debts are start fresh. However, Grignon points out that this is not a possibility because our money system is dependent on perpetually accelerating growth. If we pay of all debts than there would not be any money. Because our society and economic systems need loans in order to function, people and banks will still be loaning our money. Just as we do now, the person who received the loan would pay back the principal amount as well as the interest. Therefore, everytime someone takes out a loan, a little more of the money supply will return to the lender. Thus, if we had a set amount of money, eventually all the money would be owned by one person. Grignon says this problem would only be solved if the proceeds of lending at interest are distributed evenly throughout the population such as taxing the profits of banks. Then, the banks wouldn't lend money for profit, but instead replace the interest back into society. Banking would be free and only for the purpose of benefiting society and not private companies.

While Grignon puts much of his information into plain and simple language, it's still somewhat hard to completely comprehend because it's something I've never learned or even thought about before. His video was really interesting and I'd like to continue looking into the whole scenario. It will be interesting to see if society ever revolts and demands a change in the money system and what would become of private banks.