This chapter explores the factors for a successful FDI inflows into the SEECs media markets for multinational corporations. More specifically, the author extrapolates the main strategic directions for foreign direct investment (FDI) inflow to SEECs media markets with specific interest in answering the question to which media industry and where to invest the foreign capital. The research data sample includes 16 SEECs: Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Serbia, Montenegro, FYR Macedonia, Cyprus, Malta, Romania, Slovenia, Turkey, Kosovo, Greece, Hungary, and Moldova. In addition, this chapter surveys and reviews the literature and research on FDI in SEECs media industry and business markets.

Economic Profiles and Perspectives of FDI Inflows to SEECs Media Markets: Multiple-Case Study Research

In order to meet a complex and highly competitive media business demands, the author identifies and proposes an application and implementation of the first type of media foreign direct investment business model i.e. the hybrid FDI media business model consisting of seven synthetic, underlying, unique and multidisciplinary factors: (1) Media market concentration (Number of daily newspapers, radio stations and TV stations per million); (2) ICT Competitiveness – The WEF Networked Readiness Index; (3) WIPO, Cornell University and INSEAD Global Innovation Index; (4) The WEF Global Competitiveness Index; (5) Forecasted GDP per capita (PPP) Index 2015-2025; (6) Forecasted Market Size via UN Medium variant Forecasted population prospects (%), 2015-2025; and (7) Average annual HDI growth (%), 2000-2013. Importantly, the particular importance as well as innovativeness of this research papers focuses on the fact that this is the first, specifically designed FDI business model in the field of media business and industry. The concept of the hybrid FDI media business model is empirically implemented via the analysis of the South East European media markets FDI inflows potential. Final conclusions, implications and summary of main findings point out that the most profitable SEECs markets for FDI inflows in daily newspapers industry include Turkey, Slovenia, FYR Macedonia and Cyprus. The FDI inflows in TV media is highly recommended to Turkey, Malta, Cyprus and Romania. FDI in radio industry is the least profitable business because of the low consumption of this media as well as high market competition in SEECs markets. Nevertheless, SEECs markets recommended for FDI inflows in radio industry include Turkey, Romania, Slovenia, and FYR Macedonia. Conversely, the least profitable SEECs markets in daily newspapers industry include Greece, Kosovo, Serbia and Albania. FDI inflows in TV media is least recommended to Serbia, Albania, Kosovo and Bosnia and Herzegovina. The least profitable SEECs markets for FDI in radio industry include Kosovo, Serbia, Bosnia and Herzegovina and Greece. Importantly, the cumulative index of hybrid FDI media business model indicates that overall the most profitable markets for prospective media FDI in all three categories (TV, daily newspapers and radio) include Turkey, Slovenia, Romania and FYR. The further development of the key challenges and dynamic behavior of FDI economic model ontology, planning, application methods will be dominantly influenced by the dynamics and technological transformation of global market; the length and quality of business lifecycles; added value networks/ecosystems and the multinationals’ FDI spillover effects absorption capacity. Notably, the major disadvantages for prospective foreign investors in the media market of South-East Europe are insufficient cluster development, low level of innovation, access to financing, inefficient government bureaucracy, restrictive labor regulations, corruption, policy instability, inadequately educated workforce, poor work ethic in national labor force, property rights, business and monetary freedom, relatively Proceedings of SOCIOINT 20185th International Conference on Education, Social Sciences and Humanities, 2-4 July 2018Dubai, U.A.E. ISBN: 978-605-82433-3-0 612 low credit rating outlook, low FDI per capita and current account in % of GDP, and low country brand index (only three countries—Greece, Croatia, and Malta—are positioned among 50 most successful global brand countries as measured by the Future Brand Country Index in 2015).

The competitive analysis of fdi inflows to the south east european media markets via hybrid fdi media business model

Expansion into Eastern European and Central European markets has begun in the media sector. Above all, US, English, French, and German companies are active in the radio sector in the East. Nevertheless, the Hungarian example shows that market entry does not always run smoothly and that economic success is by no means a given. This study investigates the factors for a successful entry into the Hungarian radio market for western investors. Findings include the selection of a low capital and low risk market entry strategy with a local partner, exact research into and incorporation of the peculiarities of the Hungarian radio market, clear content positioning in order to be clearly noticed in the highly competitive Budapest radio market, localization of the product, entry into partnerships to consolidate the market as well as finding a suitable strategy for dealing with the media regulatory body Orszagos Radio Es Televizio Testulet [ORTT].

Christian Schalt Mba and and

Papers

Going East: How Media Companies Successfully Enter the Eastern European Radio Market: A Case of Hungary