Despite advantages consolidation brings to the mega-owners of radio stations, it doesn't eliminate:
A)competition radio must overcome to earn advertising dollars.
B)competition radio faces from the independent rep companies.
C)scrutiny radio faces from FDA.
D)scrutiny radio faces from the FTC.
E)scrutiny by Congress.

Question

Quizplus · Accepted Answer

Consolidation may give mega-owners of radio stations more power and influence in the market, but it doesn't eliminate competition from other radio stations for advertising dollars. Advertising budgets are finite, and advertisers will always have to choose which outlets to spend their money on. This means that even if a mega-owner dominates the market, they will still face competition from other radio stations.

While B, C, D, and E may all be factors that radio stations face, they are not directly related to the impact of consolidation on competition in the advertising market. B refers to competition from independent rep companies, which may be a challenge for radio stations, but it is not specific to consolidation. C and D involve regulatory scrutiny, which is not directly related to market competition. E refers to scrutiny from Congress, which may be a concern for radio stations but is not necessarily tied to consolidation.

Despite Advantages Consolidation Brings to the Mega-Owners of Radio Stations