Please discuss the case study as follows:
Prior to the merger, please give historical information on both Time, Inc. and Warner Brothers. In other words what did both companies look like before the merger.
Why did Time and Warner Brothers decide to merge and who benefited more from it?
What were the controversies surrounding the merger, i.e. Paramount's involvement and the opposition to the merger?
What was the ultimate result of the merger? In other words, what did Time-Warner look like after the merger?© BrainMass Inc. brainmass.com March 4, 2021, 6:57 pm ad1c9bdddf
Please see response attached (also below). I hope this helps and take care.
Let's look at each of the questions, and you can draw on the information for your final copy:
1. Prior to the merger, please give historical information on both Time, Inc. and Warner Brothers. In other words what did both companies look like before the merger?
Time Inc. was incorporated in 1924 in the state of New York. Trading of its common stock on the New York Stock Exchange began on April 29, 1964, under the symbol TL. Prior to that date, the common stock was traded over the counter. Time Inc.'s properties are primarily in book publishing and magazine publishing, although in the 1970's, they were the founding force behind the Home Box Office (HBO) network. In the late 1970s and early 1980s, a series of acusisitons (see list on page 10) strengthened the firm's presnece in its establised market and diversified its activities outside the publishing industry.
By 1989, the firm had refocused on its core publishing and renewed its commitment to news and entertainment to consumers worldwide. Time published magazines and books, distributed cable television, and operated local cable televison franchise. (p. 2 attached article) (e.g., Magazines- 42% revenue; Cable Televison Programming - 17% revenue; local cable televison franchise - 25% revenue) (See pp. 2-3 for moe detal on each).
The Warner Brothers Studio was founded in Hollywood in 1923 by Harry Warner (1881-1958) and brothers Albert (1882-1967), Sam (1887-1927) and Jack (1892-1978). Establishment was driven by the desirability of securing content for cinemas and film exchanges controlled by the brothers and their associates. It reflected similar integration by groups such as MGM and Paramount. http://www.cinetext.net/profiles/warner.htm
Warner's was primarily in the communications and entertainment business through operations in filmed entertainment (40% of revenue), recorded music and music publishing (45% of revenue), cable and broadcasting (11% of revenue), publishing and related distribution (4% of the revenue). Through its Warner Brothers subsidiary, Warner produced, financed and distributed feature films to television ...
In reference to the Time-Warner merger, this solution describes the two companies prior to the merger, reasons why Time and Warner Brothers decided to merge, who benefited more from it as well as the controversies surrounding the merger, i.e. Paramount's involvement and the opposition to the merger. It also discusses the ultimate result of the merger.