Assignment:
Is Bob Marley a Product Market?
Music producer Rock River released remixed Bob Marley and the Wailers recordings in 2006. Universal Music Group claimed exclusive rights to those recordings and sent "cease and desist" orders to music distributors (Amazon, iTunes, etc.) who immediately discontinued sale of the Rock River remix. Rock River then sued Universal alleging attempted monopoly of the reggae genre of sound recordings in the United States, among other claims. Rock River alleged that Universal "accounted for 81 percent of the reggae sound recordings sold, and Bob Marley recordings accounted for 76 percent of the total reggae recordings sold."
Questions
1. Is reggae music, in your judgment, an identifiable product market? Explain.
2. Universal claimed there were no significant barriers to entry in the alleged reggae music market. Explain why the absence of barriers to entry would be a significant consideration in resolving the case.
3. Assuming Universal's share of the alleged product market was correctly calculated by Rock River, who will win this lawsuit? Explain.