Task 2 : The Music Industry

Record Labels

Definition: Record Label - A company that promotes and produces music.

A record label is a company which produces and promotes artists. Their money is financed into supporting all their artist's needs and is later obtained by their artist's tours merchandise, digital sales, CD, DVD's, Vinyl etc. Record labels aim at making their artist known and heard through different media formats.

The two types of records labels are major and independent, the four main major labels are Sony BMG, EMI, UNIVERSAL and WARNER. All four of these labels operate sub-labels, they are owned by larger media conglomerates which controls other sections of the media, they control over 70% of the market globally and they don't specialize in one style of music.

There are different advantages and disadvantages to major label, some of the advantages a major label are that they have more money to spend on artists, biggest of their status their artist will be more recognizable to audiences and have quicker success, some of the disadvantages would be that artist would endure more pressure because a lot of money could be lost if they are unsuccessful, the artist has less control and there is more competition within the record labels.

Independent labels is any label who isn't part of the 'big four' is considered to be an independent label, they usually decide to cater towards niche audiences and are often seen as more creative as they don't mind releasing uncommercial music but more experimental music. Like major record labels there are advantages and disadvantages of independent labels. Some of the advantages are that there is more artistic freedom so the actual artistic is free to move in any creatives direction they want, they have less pressure to make music and they have a closer relationship with their label. However some of the disadvantages are that they may not have access to the same range of media coverage as the major labels, it may take longer for the artist and their music to be released and they are limited to funds because of the lack of money independent labels have in comparison to major labels.