Impact of moderate and ruinous competition on diversity: The Dutch television market

This article analyzes how competition in television broadcasting influences diversity of program supply. We argue that competition in oligopolistic broadcasting markets can take different forms, depending on the strategies adopted by broadcasters. We distinguish between moderate and ruinous competition, and discuss under what conditions these types of competition will emerge. We hypothesize that moderate competition improves diversity, whereas ruinous competition produces excessive sameness. We test these hypotheses for the Dutch television market.