Conglomeration

My younger brother is a huge fan of the Disney Channel, and sometimes while sitting with him I see commercials for channels such as ABC or ESPN. I often wondered, why is Disney advertising for these different networks? After our class lecture on conglomeration I understood the purpose of Disney advertising for these other channels. I thought it was really cool that what I learned in class was applicable to what I witness in my own living room. Conglomeration is where one large company buys and sells smaller companies to increase profits and become more successful. Disney is a fantastic example of conglomeration because it owns so many different companies and media organizations. After our lecture I thought about the Disney to ABC/ABC Family connection. Many actors and actresses star in shows on both networks, thereby bringing in more money to a company that is already worth almost 80 billion dollars.