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Essay / Research Paper Abstract
A 5 page paper discussing BMG Entertainment in 1999 as it faced decisions of how to deal with the advent of legal digitally-downloaded music. Based on Harvard case 9-701-003, the paper chastises BMG's management for considering everything but the customer in arriving at a decision. Bibliography lists 6 sources.
Page Count:
5 pages (~225 words per page)
File: CC6_KSmgmtBMGent.rtf
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Unformatted sample text from the term paper:
the entire recording industry faced the realities of digital downloads and how music would be delivered to the customer during the coming years. It has come to the point
that it must make a decision about which way to go in digital downloads. 1. Why have a handful of major record companies dominated the music industry most of the last
decade? The six largest companies produced "158 of the 163 records which achieved gold record status, and RCA/Victor and Decca represented 67 percent
of" (Meier and Rivkin, 2000; p. 3) the top records chart between 1946 and 1952. Hundreds of new companies were founded during the 1950s as rock and roll emerged
and virtually everyone - except the leading record companies - discovered it. Teens were newly affluent in the 1950s and bought records that were greatly different from their parents
choices, and rock and roll finally gained the big companies attention. The big companies accounted for less than one-third of all Top Ten titles between 1955 and 1959; by
1962 there were 42 different labels on the Billboard charts and the big companies accounted for less than half of the records making the charts.
Record companies relied on radio stations to give their products airplay so potential consumers could hear them and then purchase their own copies. The large number of
record labels soon inundated the radio stations, and the large companies "encouraged" stations to play their labels while acquiring additional labels to operate. "By 1972, although the top five
labels accounted for only 31.4% of the charts, the top five corporations distributed 58.2% of industry output" (Meier and Rivkin, 2000; p. 3). Mergers and acquisitions continued, and by
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