Swot Analysis Giant Step Records
SWOT Analysis
Organization: Giant Step Records
Operational Objectives: To operate an independent music label.
EXTERNAL
Opportunities
• As Giant Step has expanded its employee base, this allows for group decision making which can lead to increased creativity and networking.
• Through the use of a company website, Giant Step can expand its market significantly and generate an increase in revenue by selling downloads and merchandise. In addition, fans can interact with artists and stay on top of tours/concerts and album release dates.
• As an independent record label, Giant Step is not pressured by a board of directors to sign a specific sound. This allows for Giant Step to sign and promote artists they are truly interested in because they love their music and believe in them.
• As a smaller, independent label, Giant Step has to opportunity to form stronger, more personal relationships with their artists. Threats
• Online music piracy. As thousands of people obtain music illegally and for free, CD sales plummet and artists/record labels miss out on music profits.
• Legal MP3 companies, such as ITunes, allow for customers to purchase individual songs, instead of entire albums, which causes a decrease in record sales.
• Competition from major record labels can push the smaller independent labels out of the market.
• Due to that fact that Giant Step Records is a smaller, more informal music label, there is a possibility for disorganization and mistakes. If accounting or finances are overlooked, this could lead to incorrect payment for artists.
• Although it is smaller in size and can form more personal relationships with artists than larger labels, Giant Step runs the risk of having less influence and power within the music industry. Giant Step may not be able to cater to all of the tour and promotion needs of their
Organization: Giant Step Records
Operational Objectives: To operate an independent music label.
EXTERNAL
Opportunities
• As Giant Step has expanded its employee base, this allows for group decision making which can lead to increased creativity and networking.
• Through the use of a company website, Giant Step can expand its market significantly and generate an increase in revenue by selling downloads and merchandise. In addition, fans can interact with artists and stay on top of tours/concerts and album release dates.
• As an independent record label, Giant Step is not pressured by a board of directors to sign a specific sound. This allows for Giant Step to sign and promote artists they are truly interested in because they love their music and believe in them.
• As a smaller, independent label, Giant Step has to opportunity to form stronger, more personal relationships with their artists. Threats
• Online music piracy. As thousands of people obtain music illegally and for free, CD sales plummet and artists/record labels miss out on music profits.
• Legal MP3 companies, such as ITunes, allow for customers to purchase individual songs, instead of entire albums, which causes a decrease in record sales.
• Competition from major record labels can push the smaller independent labels out of the market.
• Due to that fact that Giant Step Records is a smaller, more informal music label, there is a possibility for disorganization and mistakes. If accounting or finances are overlooked, this could lead to incorrect payment for artists.
• Although it is smaller in size and can form more personal relationships with artists than larger labels, Giant Step runs the risk of having less influence and power within the music industry. Giant Step may not be able to cater to all of the tour and promotion needs of their