The emergence of cultural studies in the early 70s have revealed two approaches on culture--culture as an expression of people and culture as imposition on the people. This dualism has greatly enriched cultural studies.
Now the relationship between the cultural studies and literary studies is a complicated problem. Arguments about the relation between literary and cultural studies can be grouped around two topics: (1) literary canon and (2) cultural studies.
Culler, Jonathan. Literary Theory: A Very Short Introduction. Oxford U Press: New York, 1997.
Topics that will be useful for our discussion:
(1) Cultural Studies
(2) Literary Canon
(5) Popular Culture
(6) Ideology/Ideological institutions
(7) Antonio Gramsci
(8) Louis Althusser