Case Study : Pandora. Joe Kennedy

Over the years, musicians have allowed their music to be used in advertisements for various businesses. However, doesn’t the artist’s creativity in their music fade away after it has been used in various commercials? Most importantly, advertisements may change the lyrics to a song to relate to the product, so the business would benefit more and take the focus away from what really matters, the music.

For instance, a musician could earn between 0.5 to 0.7 cents per stream that is $5000 to $7000 per million streams, which literally adds to nothing compared to what they might earn if they were to physically sell their albums. According to him, many popular streaming companies like Pandora and sportify are believed to be worth about $2 and $3 billion respectively but yet contributed very little to annual revenue of the American recording industry. (Ben Sisario, page 3). With this I personally believe and support the fact that online streaming did improve the musical system but as a result it also hurt sales. All the three articles were focused on one main concern-how streaming has hurt sales and royalties to musicians, but each addressed it inherently different. Author James c. McKinley Jr. showed how these days the internet taken over music video that were used to be aired on MTV which was the main platform for many musicians and producers to promote and advertise their new albums. He added that due to this, musicians need to be extra creative with a comic idea, has to be telling a story or showing sexually fabricated images in order to attract much audience to repeatedly watch the video. One of the most significant impacts that the Internet had on the music industry conveyed by these articles is the ability of musicians to be creative

Radio broadcast started in the 1920’s though not many people heard it,the public however could hear it well and was filled with radio’s. Many families would gather around the radios at night for their own entertainment. The first radio used and bought was the crystal radio to make these very simple radios you needed a piece of lead galena, crystal, and a cat whisker these radios were not very productive because people could make them at home if they wanted to. By 1922, 600 radio stations popped up in the United States. The very first radio station in Chicago in 1921 by Westinghouse Electric and a manufacturing company was KYW. It played apra music 6 days a week and became a favorite in Chicago. After apra singing started getting old they

Lupe is 45 year old Mexican Americans woman, and she has two adult children, which are both adults. Lupe has a mother in her late 60s, and the mother expects Lupe to visit her. Lupe has started attending numerous church social function in hopes she might meet someone; furthermore, she does not want to end up like her mother, alone. Her husband left and never helped support his children 16 years ago, and they were never married. Lupe’s daughter, Lucia, moved in with her own daughter named Eva, and Lucia left her boyfriend due to the same financial problems. It appears history is repeating itself again with her daughter; consequently, Lupe was injured on the job, and she needs physical therapy. Lupe appeared depressed refers, and her doctor referred her to a counselor. Lupe has an enormous amount of problems, and it is no wonder she is suffering from depression.

The ways in which intellectual property has been exploited through public performance over the past 50 years have significantly changed. During the 1960s, the BBC monopolized the radio industry with national and regional programs, until the emergence of offshore pirate radio. This caused the BBC to rename its stations and reintroduce local radio in order to counter the success of the illegal stations. 1973 introduced commercial radio, which saw a large increase of stations and shows available. This had a big impact on music publishing companies, as they could access a much wider audience through the larger range of outlets to exploit their songs, and subsequently receive performance royalties. Radio expansion has increased throughout the years with the introduction of DAB radio, and internet radio stations.

Pandora originally started with a subcription type of business model wherein users must pay $36 per month after they have used up their 10 hours of free access. The original model used was the free trial type. What happened was after the free trial of 10 hours was used up, the customers were unwilling to pay for the subscription fee. Now, the new and current model being used by Pandora is the freemium business model. The new model offered users longer time limit in using their features, which could be used again in the next month and

As a company in the streaming music Industry, it is essential to have a competitive advantage in order to stay in the run. Indeed, a big competition is established between all the companies which are using more or less the same business model. In the streaming music Industry, it is easier for clients to make implicit bargaining. Indeed, the more subscribers a company has, the more music labels will be in

Starting in the year 1999, a company called Napster opened up a whole new world to the Internet where every song ever made was instantly available to you on your computer for free. It was created by an 18-year-old Northeastern University student named Shawn Fanning. Napster transformed personal computers into servers that shared mp3 files all across the Internet (Mayer, 2008). It became popular very quickly because exchanging mp3 files freely and having any music desired right at your fingertips had never been possible before. However, this program that provided the privilege of having free instant music to download did not last long, it was shut down after just two years by

In the music industry, there are several methods of sharing content. Between playing live shows, producing physical records, and now, streaming over music streaming services, artists and musicians from around the world contribute to the entertainment industry each day; however, in light of today’s technological age, more and more content is being shared and consumed through the later. In 2015, music streaming services grew to 317 billion streams, doubling the record amount of streams from the year prior—a figure that is only projected to grow in the years to come (“Nielsen: Music Streams”, 2016). Any consumer with an Internet connection can access these services’ content with

The "business side of music is struggling to generate enough revenue because of the new technology" ("How the Internet Changed Music."). "Most of the people who are part of making a record are paid in royalties, and anytime music changes hands without money being involved, those royalties can’t be paid—which is why so much has been done in recent years to try and reduce music piracy"("How The Internet Changed Music."). iTunes and Amazon has helped by offering cheap downloads for single songs, which allows the customer to only purchase songs they like rather than the entire album ("How the Internet Changed Music."). Spotify and Pandora, who offer either ad-based or paid subscription streaming of their music libraries, are Internet radio stations which have also helped with the piracy problem ("How The Internet Changed

The radio is the oldest use of media for music. It has not lost its importance in spreading music though. Bands today still rely on the radio to help spread their music so people will want to but their albums. For a band to gain an audience and to get people to buy their albums they

When speaking economically, the digital music sector of the international music industry is undoubtably the most important sector in the industry. Within the last decade, music has seen cardinal changes in the way both major and independent labels distribute their products. An industry that once relied on Payola 's and mass distribution of physical records and CD 's now relies heavily on the power of the internet. The first instance of mass distribution of music through the internet was by the service Ritmoteca.com in 1998 [1]. Ritmoteca had a library of over 300,000 songs, offering individual songs for 99 cents each and albums for $9.99. After signing distribution deals with many major music labels such as Warner

Downloaded an average of 12 tunes per month, housing libraries between 25 to more than 300,000 songs from the internet

Today in the global business world we know that strategic changes are fundamental in order to

Downloaded an average of 12 tunes per month, housing libraries between 25 to more than 300,000 songs from the internet