SAVING SONY MUSIC
Explore the crisis that Internet file sharing of copyrighted music recordings has caused for Vivendi Universal, Sony Music, EMI, and AOL Time Warner Music, who together formerly supplied 70 percent of the global music industry
Questions
1. How would the Internet firms Napster, Kazaa, and Apple's iTunes Music Store be reflected in a Porter Five Forces industry analysis?
2. Why was the Internet a disruptive technology for Sony Music?
3. What should be Sony Music's competitive strategy in response to this crisis? Include a discussion of resource-based capabilities, business opportunities, and a road map of future innovation.
4. Is your competitive strategy for Sony Music a product differentiation strategy, a low-cost strategy, or an information technology strategy? What is your strategic focus?