IDEAS home Printed from https://ideas.repec.org/a/taf/jmedec/v13y2000i2p59-79.html
   My bibliography  Save this article

A Portfolio Theory Approach to Network Program Selection

Author

Listed:
  • Barry Litman
  • Seema Shrikhande
  • Hoekyun Ahn

Abstract

This article proposes a new approach to explaining network program selection behavior. It draws on literature in the area of finance to build a model of networks' program choice. The basis for the model is the traditional theory of portfolio selection. It will be argued that networks' management of program schedules is analogous to the management of a portfolio of investments. Networks maximize profits or returns while minimizing risk, and invest in programs to achieve this goal. Programs are, in effect, a network's assets. A network's selection of programs is motivated by its desire to maximize returns for a given level of risk. Therefore, its selection of programs and construction of a program schedule can be conceived of as an exercise in selecting financial securities in a portfolio. The network investor strives to develop a portfolio of securities that fulfills its investment objective. Earlier studies have looked at factors governing the cancellation and renewal of programs. A portfolio theory approach goes beyond these studies and provides a more comprehensive understanding of the factors that determine the selection of programs and the resulting optimal program mix.

Suggested Citation

  • Barry Litman & Seema Shrikhande & Hoekyun Ahn, 2000. "A Portfolio Theory Approach to Network Program Selection," Journal of Media Economics, Taylor & Francis Journals, vol. 13(2), pages 59-79.
  • Handle: RePEc:taf:jmedec:v:13:y:2000:i:2:p:59-79
    DOI: 10.1207/S15327736ME1302_2
    as

    Download full text from publisher

    File URL: http://www.tandfonline.com/doi/abs/10.1207/S15327736ME1302_2
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1207/S15327736ME1302_2?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Richard D. Wang & J. Myles Shaver, 2014. "Competition-driven repositioning," Strategic Management Journal, Wiley Blackwell, vol. 35(11), pages 1585-1604, November.
    2. Richard D. Wang & J. Myles Shaver, 2016. "The Multifaceted Nature of Competitive Response: Repositioning and New Product Launch as Joint Response to Competition," Strategy Science, INFORMS, vol. 1(3), pages 148-162, September.
    3. Tsuji, Masatsugu & Ichikawa, Yoshiharu, 2014. "Evaluating the product portfolio of Japanese public service broadcaster: Consumer vs. citizen's view," 20th ITS Biennial Conference, Rio de Janeiro 2014: The Net and the Internet - Emerging Markets and Policies 106883, International Telecommunications Society (ITS).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:jmedec:v:13:y:2000:i:2:p:59-79. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/HMEC20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.