Satellite Company Laws

1326 Words3 Pages

To become successful in business it is essential to have a dog eat dog mentality as your competition may attempt to work the legal systems to gain a competitive advantage against you. That is exactly how Shell describes legislation, regulation, and litigation uses as an advantage for firms in his book titled Make the Rules or Your Rivals Will. The first example, network TV companies (Fox, CBS and ABC) vs. satellite TV companies (DirecTV, Dish Network, and PrimeTime 24), demonstrates how the customer plays a key part in the way legislation is shaped to benefit both parties. The second example, RCA vs. CBS, demonstrates how they used regulation to set the color TV standard in the 1950’s in an effort to force the markets to use their products. The third and last …show more content…

Older cable networks like Fox, CBS and ABC have been around long enough to have seen their fair share of legislation in the marketplace. These three companies’ network, as an example, are typically broadcasted to other parts of the country via satellite companies like DirecTV, Dish Network, and PrimeTime 24. These same satellite companies found loopholes in the Satellite Home Viewer Act of 1988. This act simply outlines the set of regulations which govern the transmissions of television stations in the United States, specifically imposing the restriction of satellite carriers broadcasting network stations only to subscribers who cannot receive broadcasts via antenna and have not subscribed to a cable broadcast system. The direct effect of this loophole was that local networks like Fox, CBS and ABC saw fewer viewership numbers as a result of these satellite companies broadcasting their channels from different regions. This allowed customers to see sports matchups and see news broadcasts from outside their area. As for the satellite companies, their numbers drastically got

More about Satellite Company Laws

Open Document