Stressed by Choice: A Business Model Analysis of the BBC

13 Pages Posted: 12 May 2009

See all articles by Julie Froud

Julie Froud

University of Manchester - Division of Accounting and Finance

Sukhdev Johal

affiliation not provided to SSRN

Adam Leaver

University of Manchester - Manchester Business School

Richard Phillips

University of Manchester

Karel Williams

University of Manchester - Division of Accounting and Finance

Abstract

This paper aims to explain the recent defensive strategy of downsizing at the BBC. The paper rejects the analysis of both industry practitioner and neoclassical economics academic critics who represent the corporation as an all-powerful, abusive player in a market and instead develops an alternative concept of the business model, which focuses the pressures of financial viability and stakeholder credibility to explain the restructuring. We argue that the BBC's business model is stressed because it struggles to deliver what key stakeholders want and expect from the corporation, from a pot of revenue that is limited by regulation. The BBC's problem is compounded by demands for more programming hours following its move into digital and by the increasingly formalized demands of regulators on behalf of an absent consumer. The paper concludes that without reflexive, business-model-centred regulation, it is likely that the BBC's business model will become unsustainable.

Suggested Citation

Froud, Julie and Johal, Sukhdev and Leaver, Adam and Phillips, Richard and Williams, Karel, Stressed by Choice: A Business Model Analysis of the BBC. British Journal of Management, Vol. 20, Issue 2, pp. 252-264, June 2009, Available at SSRN: https://ssrn.com/abstract=1401657 or http://dx.doi.org/10.1111/j.1467-8551.2008.00564.x

Julie Froud

University of Manchester - Division of Accounting and Finance ( email )

Manchester
United Kingdom

Sukhdev Johal

affiliation not provided to SSRN

No Address Available

Adam Leaver

University of Manchester - Manchester Business School ( email )

Booth Street West
Manchester, M15 6PB
United Kingdom

Richard Phillips

University of Manchester

Oxford Road
Manchester, M13 9PL
United Kingdom

Karel Williams

University of Manchester - Division of Accounting and Finance ( email )

Manchester
United Kingdom
0161 275 4016 (Phone)

HOME PAGE: http://les1.man.ac.uk/accounting/Staff/Academic/K_Williams.htm

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