ABSTRACT
According to Advertising Market and Media Research Report of China in 2011 recently released
by CHRM (Charm Communications Inc.), in 2011, the total advertising revenue was Y680.855
billion with 14.5% of annual growth rate that was higher than the 9.2% in GDR Among the revenue,
the TV media advertising was ￥510.033 billion and occupied 74% of total advertising market while,
with steady increase, the revenue of broadcast, newspapers and magazines, and outdoor media etc.
was Y 170.822. Conservatively, it was estimated that the revenue of outdoor media could be ￥43
billion in 2011Moreover, it was predicted that the advertising market could increase by 11% in 2012,
which may have broad market space.
Currently, there are about 69,000 advertising corporations in China, which control around 80% of
the total outdoor advertise resources in terms of the statistics from China Advertising Association; and
the extreme decentralization of outdoor advertising resources lead to such a result that advertisers
cannot operate successfully in regional scale and national networked outdoor media. Some large
companies that are specializing in capital operation, such as TOM Outdoor, JCDecaux China, do not
involve in outdoor media integration services yet because that the outdoor media especially in the road
and the street advertising facilities are restricted by various of local regulation which probably cause
some risk to those companies.
In view of the contradiction between supply and demand mentioned above, The X Network
Technology Co. LTD established the 123 Media Nets in 2006, which depends on national outdoor
advertising resources database. Based on the transaction flat, 123 Media Nets can help the
media-operator solve the problems of media-selling, provide the advertisers professional suggestions
about advertising operation and solution of one-stop precise outdoor media operation for advertisers.
So far, it has offered the value ofY 15 billion information- release management and sales services of
outdoor media to more than 10,000 media member of 123 Media Moreover, more than 200 media
have become strategic alliances with 123 Media Nets. Consequently, under the perfect corporation
governance construction, the performance has been improved rapidly.
In the thesis, many theories such as business plan theory, competitive strategy theory, marketing