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Diversity of Journalisms. Proceedings of <strong>ECREA</strong>/CICOM Conference, Pamplona, 4-5 July 2011<br />

Verlagsgruppe Passau, Orkla Media and Mecom – Different<br />

Business Strategies on Polish Press Market<br />

Adam Szynol<br />

University of Wroclaw, Poland<br />

Abstract<br />

After socio-political breakthrough in 1989 foreign companies entered Polish media<br />

market. Firstly, investors appeared in <strong>the</strong> press sector, later on in <strong>the</strong> electronic<br />

media. One of <strong>the</strong> first groups presented in Poland was Orkla Media. The Norwegians<br />

launched a brand new regional daily, which was a kind of exception in Orkla’s<br />

strategy. After subsequent failure <strong>the</strong>y changed <strong>the</strong> pattern of business activity. From<br />

1991 to 2006 Orkla bought a dozen or so of regional dailies and took over shares in a<br />

nationwide newspaper. During that period <strong>the</strong> Norwegians followed <strong>the</strong>ir well-known<br />

path to run <strong>the</strong> media business.<br />

When in 2006 Mecom bought out Orkla’s shares, a new era began. The British fund<br />

was mainly interested in making <strong>the</strong>ir assets more profitable. Some mergers were<br />

carried out. Consequently, many journalists had to be dismissed. Unlike <strong>the</strong><br />

predecessors, Mecom eagerly diverted toward <strong>the</strong> Internet and it seems to be <strong>the</strong><br />

most important direction of <strong>the</strong>ir strategy.<br />

The biggest shareholder of <strong>the</strong> regional press sector, however, is still Verlagsgruppe<br />

Passau (VGP). The German group appeared in 1993, in disguise of a Swiss company<br />

and next year took over eight regional dailies from Robert Hersant, a French<br />

newspaper tycoon. In due course, VGP bought out a couple of more regional titles<br />

and became <strong>the</strong> leader of this sector of <strong>the</strong> market. Although <strong>the</strong> Germans were<br />

competing against <strong>the</strong> Norwegians and <strong>the</strong> Brits, <strong>the</strong>y showed a different style of<br />

managing <strong>the</strong>ir assets. Originally a family firm, <strong>the</strong>y kept running <strong>the</strong> business very<br />

tightly and under <strong>the</strong> strict control of <strong>the</strong> owner.<br />

The author is trying to describe different patterns of business strategy in <strong>the</strong> press<br />

sector in Poland, examining each investor’s behavior and <strong>the</strong> results of <strong>the</strong>ir efforts.<br />

This can lead to conclusions about <strong>the</strong> past activities as well as to predictions about<br />

<strong>the</strong> future of <strong>the</strong> market.<br />

Keywords: regional dailies, Passauer, Orkla, Mecom, mergers, business strategies<br />

Introduction<br />

It was not until <strong>the</strong> year 1989 when Poland entered <strong>the</strong> path of democratic changes<br />

and <strong>the</strong> communism collapsed. During <strong>the</strong> Round Table Talks, between <strong>the</strong><br />

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