Firm profitability during the servitization process in the music industry

Myrthianos, Vasileios; Vendrell-Herrero, Ferran; Parry, Glenn; Bustinza, Oscar

Abstract

The music industry, as with other creative industries, has suffered a dramatic decrease in performance due to the digital disruption.

While previous literature uses revenues as a proxy for performance, this paper uses profits, confirming the link between the fall in industry revenues and firm profits.

Profits have decreased more for local firms than multinationals indicating that the large firms adapt better to technological and economic disruptions.

Citation

Myrthianos, V., Vendrell-Herrero, F., Parry, G., & Bustinza, O. Firm profitability during the servitization process in the music industry. Strategic Change, 23(5-6), 317-328. https://doi.org/10.1002/jsc.1979

• Journal Article Type: Article
• Journal: Strategic Change: Briefings in Entrepreneurial Finance
• Print ISSN: 1099-1697
• Publisher: Wiley
• Peer Reviewed: Peer Reviewed
• Volume: 23
• Issue: 5-6
• Pages: 317-328
• DOI: https://doi.org/10.1002/jsc.1979
• Keywords: servititization, technological disruption, economic disruption, music industry, firm profits
• Publisher URL: http://dx.doi.org/10.1002/jsc.1979
• Related Public URLs: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1099-1697
• Additional Information: Additional Information : First published online 19 August 2014. This is the pre-peer reviewed version of the following article: Myrthianos, V., Vendrell-Herrero, F., Parry, G. and Bustinza, O. (2014) Firm profitability during the servitization process in the music industry. Strategic Change: Briefings in Entrepreneurial Finance, 23 (5-6). pp. 317-328. ISSN 1099-1697, which has been published in final form at http://dx.doi.org/10.1002/jsc.1979.