Universal Music Group (UMG)

Whos owns the company?

The Company, Universal Music Group is owned by Vivendi and the CEO of Universal Music Group is Lucian Grainge, with chairman Doug Morris.

Where is it based? In which countries does it have offices?

Universal Music Group is based in New York City. They have offices all over  the world:

USA : Nashville, Santa monica and universal city
UK: London, Romford
Japan: Minato,Tokyo

UMG is part of the same company as:

A Film or Television Studio?
NBC Universal  - A company that owns and operates two American television networks and numerous cable channels.

A Video Games Company?
Activision - An American video game developer and publisher.

A Telecommunications Company?
Global Village Telecom - A Brazilian telecomunications company that offers advanced services on fixed phone, broadband for both consumer and business.

A Music Distribution Company?
Vivendi Entertainment - A Independent film, television, DVD and digital distribution company operating in the United States and Canada.

How far do you think developments in technology have changed the way the music industry operates? Consider how new technologies have changed the relationship between audiences and artists.

Technology has changed many aspects of  the music industry because in modern society, many people who enjoy listening to music, often think music is free. Music can easily be accessed through a variety of different file sharing website. These websites enable anyone to only stream music, but also download music for free. Often artists feel betrayed by the fact that people would illegally listen to their music, rather then pay for it legit. In todays society, artists have no control over how people listen to their music, it could either be from a friend, through the radio, on various social networking sites such as facebook and YouTube. The fact that an artists music has been posted on various file sharing sites, means that the potential target audience may not want to purchase the single, because they do not like it, having heard it. The term 'leaked' usually means an unfinished song or album has been released before the offical release. Normally hackers leak artists music however recently, artists have been releasing certain songs in order to gain feedback. For example Kanye West introduced 'Good Friday' where he leaked certain songs every friday, in order to give fans an idea of what to expect on his next album and to recieve feedback. Record labels try to prevent an artists song or album leaking early because after the official release, their is a chance that sales will not be as high as projected due to the fact that many of the potential target audience may have already downloaded the album or song, therefore does not feel the need to purchase the a physical copy of the album or song. If this did happen, record labels have other ways in which they generate profit. If the chosen artist already has an image or brand identity which appeals to the selected target market, the record label can generate profit by selling tickets to the artist live, selling merchandise, for example clothes and accessories. Social networking sites like Facebook and Twitter, enable artist to become more personal with their fans because they get to stay updated and have a chance to talk to the artist. Developments in technology have changed the music industry dramatically, and it can only change futher. The industry is changing everyday.

Record Labels

a) What does a record label do?

Record lebels enable artists, through advances and marketing/sale support, to treat music making as a full-time career. They use the artists recordings and promote their music in certain ways, such as allowing their artists music to be used in movies, giving away free snippets of the artists music, therefore the target audience judge weather or not they like the artist and the song. All these promotional techniques, and more develop a profit for both the artist, and the record label.

b) Give four examples of services a record label might provide for an artist?

• A record label will provide an artist with a record deal, enabling the the record label to promote and sell the artists music.

• A record label provides the artist an identity, meaning they will become more recognised within the labels target audience.

• A record label provides the artist with financial support, in order to pay for music videos and clothes.

• A record label provides a artist with a full time career.

c) Why might an artist want to be signed to a record label?

An artist may want to get signed to promote his music to a wider target audience, therefore becoming more established across the globe. Financially, being signed to a record label is good because the artist has the ability to pay for their music videos. The record label creates an image, more or less an identity for the chosen artist.

d) Give four examples of ways in which record labels make money (these are known as revenue streams)

• Selling albums and singles

• Selling merchandise 

• Going on tour 

• Sponsorships  

e) Name the 'big four' record labels (also known as the 'majors') and name two well-known artists who are signed to each one.

• Universal

           Ashanti - Aaliyah

• EMI

          James Brown - Lloyd Banks 

• Sony/BMG

          Chris Brown - Justin Timberlake

• Warner

          Wiz Khalifa - Madonna

AS Media Studies Unit G323 - exam

Section B: Institutions and Audiences

For Section B, we shall be studying the music industry. We shall focus on case studies of two record labels within the contemporary music industry which target British audiences, including their patterns of production, distribution, marketing and consumption by audiences. This will be accompanied by study of the strategies used by record labels to counter the practice of file sharing and their impact on music production, marketing and consumption.

Candidates should be prepared to understand and discuss the processes of production, distribution, marketing and exchange as they relate to contemporary media institutions, as well as, the nature of audience consumption and the relationship between audiences and institutions. In addition candidates should be familiar with:

·         the issues raised by media ownership in contemporary media practice;

·         the importance of cross media convergence and synergy, in production, distribution and marketing;

·         the technologies that have been introduced in recent years at the levels of production, marketing and exchange;

·         the significance of proliferation in hardware and content for institutions and audiences;

·         the importance of technological convergence for institutions and audiences;

·         the issues raised in the targeting of national and local audiences (specifically, British) by international and global institutions;

·         the ways in which the candidates’ own experiences of media consumption illustrate wider patterns and trends of audience behaviour.