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Factors Influencing Interactivity of Internet Newspapers
Unformatted Document Text:  Factors Influencing Interactivity of Internet Newspapers 6 newspapers is influenced by internal and external factors. Researchers noticed several factors regarding their effect on media content and interactivity of Internet newspapers. Newspaper Size. When setting up a Web site, it is harsher for those with insufficient capital or marginal journalistic reputations (Giles, 2000). Among the survivors are the mainstream news organizations that have the resources to build powerful Web sites. Schultz (1999) found newspaper size is a clearer predictor of interactive options of Internet newspapers. Garneau (1996) also reported that the cost of developing new media product made it highly unlikely to compete as small, independent newspapers. However, Chan-Olmsted and Park (2000) examined 300 broadcast TV stations’ Web sites and found that market size is the least relevant to the content and structure of Web site. Lin and Jeffres (2001) also noted that market size is not a significant factor in determining the content on Web sites. Media Ownership. The possible effects of ownership on newspaper content have been the focus of many scholarly studies (Bagdikian, 1992; Demers, 1993; Beam, 1993; Lacy, S. et al., 1996; Fradgley et al., 1995). Industrial economists have long believed that elements of “market structure" form the economic environment of firms and induce these firms to behave in a certain way (Caves, 1982). One of the significant elements to surface in the discussion of market structure is “ownership concentration.” It is assumed that economic benefits such as scale economies, better bargaining power and shared group know-how are more likely to be available to firms under chained ownership. In the online setting, Chan-Olmsted and Park (2000) found ownership is related to content of TV stations' Web site. Schultz (1999) argued that chain newspapers possibly benefit from

Authors: Qian, Zeng. and Li, Xigen.
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Factors Influencing Interactivity of Internet Newspapers
6
newspapers is influenced by internal and external factors. Researchers noticed several
factors regarding their effect on media content and interactivity of Internet newspapers.
Newspaper Size. When setting up a Web site, it is harsher for those with
insufficient capital or marginal journalistic reputations (Giles, 2000). Among the
survivors are the mainstream news organizations that have the resources to build
powerful Web sites. Schultz (1999) found newspaper size is a clearer predictor of
interactive options of Internet newspapers. Garneau (1996) also reported that the cost of
developing new media product made it highly unlikely to compete as small, independent
newspapers. However, Chan-Olmsted and Park (2000) examined 300 broadcast TV
stations’ Web sites and found that market size is the least relevant to the content and
structure of Web site. Lin and Jeffres (2001) also noted that market size is not a
significant factor in determining the content on Web sites.
Media Ownership. The possible effects of ownership on newspaper content have
been the focus of many scholarly studies (Bagdikian, 1992; Demers, 1993; Beam, 1993;
Lacy, S. et al., 1996; Fradgley et al., 1995). Industrial economists have long believed that
elements of “market structure" form the economic environment of firms and induce these
firms to behave in a certain way (Caves, 1982). One of the significant elements to surface
in the discussion of market structure is “ownership concentration.” It is assumed that
economic benefits such as scale economies, better bargaining power and shared group
know-how are more likely to be available to firms under chained ownership. In the online
setting, Chan-Olmsted and Park (2000) found ownership is related to content of TV
stations' Web site. Schultz (1999) argued that chain newspapers possibly benefit from


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