ABS-CBN Broadcasting Corporation: A strategic management report


Rocky Laurel

Date of Publication


Document Type

Oral Comprehensive Exam

Degree Name

Master of Business Administration


Ramon V. Del Rosario College of Business


Decision Sciences and Innovation Dept


This paper examines the Philippine television broadcasting industry in general and the prospects for ABS-CBN Broadcasting Corporation in particular. The Philippine television broadcasting industry is a virtual duopoly composed of two dominant players that control over 70 percent of the market: ABS-CBN and GMA Network Inc. Despite this, the competitive rivalry between the two companies is intense. This is mainly due to the high stakes involved, the low switching costs, and the aggressive nature of both players.

For the past two decades, ABS-CBN has been consistently on top based on the AC Nielsen Media Research surveys, with GMA Network a far second. Recently, however, GMA Network has been able to catch up. In a 2006 survey conducted by Pulse Asia, 7 out of 10 Metro Manila-based viewers find GMA Network a more credible network than rival ABS-CBN. The Nationwide Urban Television Audience Measurement, AGB Nielsen Media Research's official nationwide survey conducted from October 8 to October 13, 2006 showed that ABS-CBN still led athe nationwide television viewership with a share of 43 percent, and GMA with 35 percent. But the network managed to lead in the Mega Manila and Southern Luzon demographic, which has the highest television ownership and up to 79 percent of advertisement spots.

In the industry analysis, we found that bargaining power of buyers is high, bargaining power of suppliers is moderate, the threat of substitute is low, the threat of new entrants is low, and the competitive rivalry is intense. In spite of these, the industry is by no means a tame one. Competition between ABS-CBN and GMA Network is cut-throat owing o the large stake involved, the stagnant market growth, and the low switching costs. Both networks are

Abstract Format






Accession Number


Shelf Location

Archives, The Learning Commons, 12F Henry Sy Sr. Hall

Physical Description

91, 48 unnumbered leaves ; 28 cm.

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