Living Large Case Application

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Management Policies and Practice Chapter 08 – Strategic Management Solution: Ans. 01: As they mention on their site “future of music business”, they want to prevail on music industry in all aspects. By discovering new opportunities and by effectively exploiting them, Live Nation is continuously giving a tough competition to its competitors. Live Nation has its own House of Blues chain of venues, where customer can enjoy different genres music so here Live Nation is using forward vertical growth strategy. Because they are basically controlling their output here, and has direct contact with its consumers. As Rapino, CEO of the company, is not only content with just having a dominating concert business but also he is also exploiting the opportunity to take advantage from music stars by offering them One – Stop Operation to arrange their tours, to set their albums, to sell their merchandise, to produce their videos etc to control somehow inputs too. So Rapino is also implementing backward vertical growth strategy here. Live Nation has core competencies and skills in making a strong bridge between fans and stars, live concerts promotion, musical festival organizing, online music etc. And Live Nation is doing all these continuously in very qualitative way. So Live Nation has quality as competitive advantage as they are continuously improving their quality and reliability. Ans. 02: SWOT analysis covers the external and internal analysis of an organization’s environment from business point of view. From examination of external environment, managers can identify the opportunities which can be exploited for company’s growth and threats which can be there to restrict business. Whereas internal analysis reveals the core competencies and skills of an organization, that is, its

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