the private sector

As with the public sector, the private sector is expected to contribute to the production and dissemination of Canadian cultural products. To ensure this will happen, the government has implemented policy measures (both regulations and inducements).

Several issues arise in regards to disseminating Canadian content. For instance, it is far cheaper for Canadian television broadcasters to purchase American programming than indigenous programming (since US producers make so much money domestically, they can then sell their programming to foreign markets at lower costs). It is also less of a risk for Canadian broadcasters to buy and air American programs since they have usually already proven to be popular amongst audiences. By airing successful American programs, Canadian broadcasters gain more attention and media coverage, thus benefiting from the publicity of foreign programming.

Then there is the film industry. It is quite difficult for Canadian films to penetrate the market. This is because major Hollywood production companies have ownership ties with Canadian movie theater chains (think vertical integration) and so their movies are given preference. Obviously, for commercial interests, these theater chains would rather book big blockbusters that have been promoted through magazines and entertainment shows rather than small time Canadian films who have a director who's name you've never heard of.