Environmental Analysis & Strategy Development for Emi Music
INTRODUCTION
The online music market is a highly competitive market which has exploded with a large number of competitors in the recent years. Players such as iTunes, Napster and AmazonMP3 dominate this market with revenues being made by all players in the market exceeding US$4.2 billion in 2009 (http://www.ifpi.org/content/library/DMR2010.pdf). The online digital music download market currently consist of 400 legal music services engaged in providing 260 types of products which include music, videos, mastertones, ringtones, audio tracks, etc. The industry is pushed into more competition and the potential for new entrants are increased by the current trends in the market which includes higher consumer purchases of music online, faster and wider access to internet around the world and the increased ability to download and listen to music on-the-go with the developments in the mobile industry and mobile connections.
EMI music, otherwise known as Electric & Musical Industries was established in 1931 through a merger between Columbia Gramophone company and Gramophone company. It is the fourth-largest business group and family of record labels in the world and also owns EMI music publishing which is their publishing arm. The main competitors for EMI in the Digital music download sphere include brands such as Napster, iTunes, AmazonMP3’s which are more prominent in the market presently. But it is accepted industry-wide that EMI has the largest number of popular music artists under its logo and has the largest database of music of all record labels.
The following analysis attempts to identify the major forces operating in the market for Digital music downloads and aims at making recommendations for EMI to achieve growth in the future.
IMPORTANCE OF ENVIRONMENTAL SCANNING
The marketing planning process must begin with the environmental analysis. It is the process through which a marketer develops his/her understanding about the factors affecting the business
The online music market is a highly competitive market which has exploded with a large number of competitors in the recent years. Players such as iTunes, Napster and AmazonMP3 dominate this market with revenues being made by all players in the market exceeding US$4.2 billion in 2009 (http://www.ifpi.org/content/library/DMR2010.pdf). The online digital music download market currently consist of 400 legal music services engaged in providing 260 types of products which include music, videos, mastertones, ringtones, audio tracks, etc. The industry is pushed into more competition and the potential for new entrants are increased by the current trends in the market which includes higher consumer purchases of music online, faster and wider access to internet around the world and the increased ability to download and listen to music on-the-go with the developments in the mobile industry and mobile connections.
EMI music, otherwise known as Electric & Musical Industries was established in 1931 through a merger between Columbia Gramophone company and Gramophone company. It is the fourth-largest business group and family of record labels in the world and also owns EMI music publishing which is their publishing arm. The main competitors for EMI in the Digital music download sphere include brands such as Napster, iTunes, AmazonMP3’s which are more prominent in the market presently. But it is accepted industry-wide that EMI has the largest number of popular music artists under its logo and has the largest database of music of all record labels.
The following analysis attempts to identify the major forces operating in the market for Digital music downloads and aims at making recommendations for EMI to achieve growth in the future.
IMPORTANCE OF ENVIRONMENTAL SCANNING
The marketing planning process must begin with the environmental analysis. It is the process through which a marketer develops his/her understanding about the factors affecting the business
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