The very first word that springs to our mind when we discuss Mp3 technology is "copyright". Inefficient copyright mechanisms can make or break the Music Industry as apparent from the yesteryears hype created by the Music Industry suing for piracy of their music through Mp3 versions of their copyrighted material. The digital age seems to have compromised the concept of copyright material and has had negative outcomes for the publishing, music and the computer industries. An important example of this is the peer-to-peer file sharing system of copyrighted music. The Napster and Grokster cases are a good illustration of the legal response of the industries .The copyright industries themselves have responded with new business strategies by providing legal download services.1The internet has been famously defined as a network of networks, and the denser these networks become; the more complicated it becomes to prevent the bane of copyright infringement and other intellectual property violations from occurring. 2Even though the courts have been willing to intervene where there has been an infringement of copyright, the practical difficulties of managing copyright violations arise whenever the "sheer scale" and "speed" of the internet causes high speed reproduction of the material to be achieved without actually being detected.Therefore my strategic analysis of the Mp3 technology involves the stress on DRM technologies to prevent heavy losses to the industry.Further discussion entails the emergence of Ecosystems with in this industry bringing about a collusion of the Singers,Record Labels and online Information service providers as well as the role played by governmental and legal agencies to protect the financial interests of the industry as illegal downloading and burning continue to compromise the industry's ability to invest in the new music talent of tomorrow.
When assessing the purchasing trends of any industry it is pertinent to note that the buyers will display certain types of buying behaviors. The aim of assessing the competitive landscape of the Music industry it would be worth employing a Marketing Mix (MM) strategy to tap into the preferences of the consumer base(Laudon,and Laudon 2008).The diagram below shows five dimensions of the customer buying behaviour.
Figure: THE FIVE KEY DIMENSIONS OF BUYING BEHAVIOUR (Jobber, 1998)
The answer to these questions can be given through direct contact with consumers (in a retail environment) and increasingly by using marketing research for the Music Industry.However there are other issues at stake.The use of information systems for the sale purchase and management of the Music industry has harmed it more than benefitting it.No doubt the online music stores are a testimony to the blessings of the cost efficient era of E commerce and allow Ecosystems to develop in the cyber world thereby integrating the industry to bring about cheaper goods and services. (Laudon,and Laudon 2008).The era of digitalization for this industry began very positively as the dot.com bubble encouraged many small and large businesses to open online stores.Significant record labels also clamored to advertise their merchandise and labels online.The scale and magnitude of advertisement potential available online brought about a temporary boom in the Online Music industry while bringing fringe benefits for the offline record labels but the entry of Kazaa, Grokster, EDonkey, and Bit-Torrent and their