The United States of America’s interlocked information industry: An examination into seven U.S. media sectors’ boards of directors

ABSTRACT

This research explores the interfirm interlock networks that currently exist among publicly traded media conglomerates operating in the United States of America. Directorship information was gathered from annual reports and definitive proxy reports filed with the U.S. Securities and Exchange Commission for 68 media conglomerates across seven media sectors for year ending 2018. This investigation applies social resource theory to assess the social networks formed by interfirm interlocks among media conglomerates and how such network structures address environmental uncertainty. Results indicate that not all alliances are mutually beneficial and those that are more resource-dependent endure negative cooptation effects. Moreover, today’s financial interlocks look very different than they did at the turn of the century. This research discusses how these changes in interfirm interlocks have resulted in directorship wars. Practical implications are discussed.

KEYWORDS:

• Media conglomerates
• social network analysis
• interfirm interlocks
• social resource theory

Disclosure statement

No potential conflict of interest was reported by the author.

Notes

1. The NAICS Information sector brings together those activities that transform information into a commodity that is produced and distributed, and activities that provide the means for distributing those products. Industries included in this sector are telecommunications; broadcasting; newspaper, book, and periodical publishing; motion picture and sound recording industries; libraries; and other information services (Census.gov).

2. The data that support the findings of this study are available from the corresponding author, [JLH], upon request.

Additional information

Notes on contributors

Jennifer L. Harker

Jennifer L. Harker (Ph.D., The University of North Carolina at Chapel Hill) is an assistant professor of strategic communication in the Reed College of Media at West Virginia University. Dr. Harker applies the network perspective to her research in the areas of media business models, sport communication, and stakeholder perceptions.