Media Management in Theory and Practice

2 13 I n the field of mass communication, the term theory is often loosely defined. Paradigms, conceptual frameworks, models, normative theories, and, of course, actual theories are all frequently referred to as " theory, " although they represent very different constructs. As traditionally defined in science, a theory is a systematically related set of statements about the causes or relationships underlying observable phenomena (Rudner, 1966). Theories are developed by abstracting from observation and are confirmed through repeated experiments designed to test hypotheses related to a theory. The result is often the development of law-like generalizations about underlying causes and relationships. The purpose of a theory is to increase scientific understanding through a systemized structure capable of both explaining and predicting phenomena (Hunt, 1991). Accepted theories become a part of our understanding and are the basis for further explorations of less understood areas. Being a statement of cause and effect, they help us predict with a certain degree of confidence future consequences of our current actions. Sound theories also help describe what is happening and why; hence they are valuable tools for data interpretation. For all of their usefulness, theories do have limitations: First, they are focused and very specific, and therefore they cannot give full explanations of all factors involved. This very characteristic usually results in deterministic explanations. Second, they tend to be based on narrow, unrealistic assumptions. Theories aim to develop models used for predictions of future behavior and consequences , but they need to deal with complications of the unpredictability of individual humans and social groups. Although most of the theories and conceptual frameworks from which media management research draws are based in organizational studies, the field of media management is distinctive in a number of ways. First, media organizations produce information products rather than tangible products, and the underlying economic characteristics of information products differ from those of other types of tangible goods in critical ways. These fundamental economic characteristics are related to crucial differences in demand, production, market, and distribution conditions, creating a very different management environment than what is found in many other industries. Most important, media products have extremely high social externality value because of the central role information and media content plays in economic, political, and social processes. Because media are one of the critical infrastructure industries in society, media management practices have implications far beyond the purely economic concerns of corporate …