After the spun-off from the radio giant Clear Channel Communications in 2005, Live Nation, the world’s largest events and live music promoter is now preparing itself to go even bigger. Led by CEO Michael Rapino, Live Nation is revolutionizing the music industry from a concert business to a one-stop shop that would make every fan and artists musical ends meet. Live Nation’s arising strategy is to connect the artists to the fans in every aspect possible by going after the music star’s themselves rather than just their live music. In October 2007, Rapino signed a first-of-its-kind deal with Madonna and still has not shown signs of slowing down as it signed with other music stars and hopes to even add more. Problem Statement
A. Short Term
How to meet and connect the existing musical needs of the fans and the music stars? B. Long-Term
How will Live Nation gain Competitive Advantage over competitor, increase fans and music stars satisfaction and loyalty, and add value to the business in the long run? Key Success Factors
1. Good planning and strategic management
2. Ability to respond to change and trends in the environment 3. Establishing strong connection/communication between the company, the fans and the artists 4. Proper application of Information System
1. The point of view in this case is the top management of Live Nation. 2. The rival companies of Live Nation does not embrace making a significant change (i.e. expansion, restructuring) in their current operation given the existing situation. Alternative Courses of Action
1. Expand the Business through Vertical Integration Growth Live Nation may pursue expansion by owning the control of the inputs, processes and outputs in the concert business and other related activities. This alternative provides the company more sources of revenues especially if it involves music superstars and proper management is...