Industry Analysis: Music Industry; Recording

Question 1: What atomic number 18 the intentness?s possessive frugal features?This industry comprises establishments primarily engaged in memorialise mathematical product (e.g., tapes, CDs). These establishments contract with artists and arrange and finance the deed of original exceed enters. Establishments in this industry hold the secure to the master record and derive most of their taxs from the sales, leasing, and licensing of master recordings. The medicine industry is one and only(a) in which a five study companies have enjoyed exclusivity for wellhead-nigh time now. The current macro-environment is one that is filled with differing technologies that are wreaking mayhem with the business models of these five major record labels in the industry. In terms of market size; the US recording industry revenue fell by $11 zillion in 2006, down 25% from a 1999 peak of $14.6 million, agree to northern Group. The rise of digital music will handle around for this l oss, r all(prenominal)(prenominal)ing $5.34 billion by 2012, up from $1.98 billion at the end of 2007. Additionally, California and New York account for 53% of revenues for this industry, where the volume of the entertainment business is located. In terms of revenue per employee: $212,769, well above the average earnings of employees in other(a) sectors of the economy. (Serpick, 2007)(Yankee Group, 2008)There are currently five major labels competing in this market, on with an much(prenominal) number of independent labels.

The five majors are: BMG Entertainment, EMI, Sony concordance Entertainment, Warner Music Group, and Universal Music Group. The record companies are bas! ically interdependent, when one company makes a move; it generally ?forces? a response from its rivals. Rivalry increases as companies attempt to undercut each other?s prices or offer customers more broadside in their products, pushing industry profits down in the process. The x factor in the recording industry was that of earnings income access in which... If you want to get a abounding essay, order it on our website: BestEssayCheap.com

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