Amid Taiwan's political transition, the press ban was lifted in 1988. It was aimed at enhancing free competition, avoiding monopolies, and creating a healthy media environment. Since then, new problems have emerged, while old ones remained unsolved. Among these concerns, the questions of this paper include (1) how did de-regulation take place and, (2) how did the press change afterwards. According to the historical analyses of the paper, the press had been protected under the authoritarian regime and its structure, distorted. In lifting the ban, the government was inactive and favorable to the incumbents; however, deregulation has buried the seeds of crisis for the press. Without any regulation concerning concentration of ownership, internal democracy and market practices, the big newspapers soon won the competition by unfair practices. Owners of some big newspapers even used the press to express their political interests. The new comer, with its business backgrounds, also followed this kind of strategy by price-cutting and conducting prize-drawing campaigns. As the competition became tougher, the press became weaker and eventually started declining. Therefore, it can be concluded that in the political transition process, it is vital to lay out a regulatory framework in order to build a sound media environment.
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