Chinese TV Industry Value Chain Optimization Strategy Research

Value chain theory was born in America in the1980s, when the United States isfacing challenges of emerging countries such as Japan and the domestic enterprisecompetition has fallen sharply. Michael·Porter thinks that the value chain canintegrate enterprise resources, and improve their overall strength, meet peoplepersonalized, high-quality market demand. Today, China’s TV industry is facingchallenges of quality programs from Europe, America, Korea and Japan. How toimprove the market competitiveness of the television industry has become animportant issue to our television development.Combined with the similar business background, value chain theory can also beused for the television industry development in our country. But the social division ofrefinement and Internet technology has enriched the original meaning of MichaelPorter’s value chain, when the virtual value chain, the value of knowledge chain andthe value net emerge. These new concepts bring a new commodity competition format,which makes the optimization of China’s TV industry value chain more complex.Based on television as the core, the value chain theory as the axis, this paperpoints out that the television industry value chain contains audience analysis, programdevelopment，program production, program flow, program broadcast and derivativesdevelopment. The author summarizes the external and internal factors affecting thedevelopment of the television industry’s overall value chain，through the analysis ofthe development of all aspects of the current situation at home and abroad. Theexternal factors include relevant policy adjustments, economic development andconsumer culture. And the internal factors include management system reform, theabsence of copyright laws and dissemination of technology innovation.Based on the decomposition of China’s television industry value chain and theanalysis of the influencing factor above, this paper summarized som e problems of thewhole value chain. There are three main aspects:First, China’s TV industry as a whole value chain is short and incomplete, becausethe upstream development is inadequate and the downstream of the derivative isshorter. Second, it is disparity between China’s television industry value chains,particularly in the right of broadcast and others. Third, the coordination is poor amongthem, non-docking between content development and production of program, out oftouch within program production and circulation, connected not tightly between the program broadcast and late development of derivatives. These issues are not bypassthe key issues in TV industry value chain of our country.Therefore, the fifth chapter puts forward four basic strategies in this paper. Thesefour strategies are recycling strategy based on fundamental value chain processes,network linkage based on the virtual value chain, innovation-driven knowledge valuechain and module coordination strategy based on value net. TV indu stry value chainhas finally been optimized, obtains the good development by this.