Innovations in the Music and Entertainment Industry in India

Innovations in the Music and Entertainment Industry in India

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Case Details:

Case Code : BREP003
Case Length : 15 Pages
Period : 1991-2004
Pub Date : 2005
Teaching Note :Not Available
Organization : -
Industry : Music and Entertainment Industry
Countries : India

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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"The future of film-making is digital technology. In five years time I won't be surprised to see a 10-year-old boy, a school teacher or even a truck driver making a film. They'll make mistakes initially but the technology is self-teaching and people will learn the craft step by step. As film-making gets liberated from the tyranny of financiers creativity is bound to surface"

- Shekhar Kapoor, noted film-maker1.

"We believe in providing the youth with an ever expanding 3600 brand while the TV will always be at the center of the MTV experience, we like to provide the youth with as many touch points as possible…our Music World relationship will be yet another 'Enjoy!' experience for them!"

- Mr. Vikram Raizada, Vice President, Marketing, MTV Networks India2.

"Even if a particular kind of music does not sell much we store it. There's that one customer who walks in once in three months looking for it. And there's nothing better than the smile on his face when he finds what he has been looking for. You name the cassette and we have it. And if we don't, we get it for you."

- A Planet M Official3.

"Switching on the music system one tired evening, have you ever wondered why your audio CD can't have all the songs only of your choice? While gifting a CD to someone special, have you eve paused and thought for a moment how wonderful it would be to put across a message for the person on the CD cover, something that would remain as a memento forever?"

- Purnendu Kumar, Manager-Marketing, Saregama India Ltd.4 r


The Indian music and entertainment industry witnessed unprecedented momentum in the late 1990s and early 2000s. Improvements in packaging, branding and sale of the final products were accompanied by rapid acceleration in the areas of technological development and customer centric innovations characterized by modern multiplexes and music stores. Changing lifestyles and increasing disposable income had given a boost to the media and entertainment industry. According to 2004 estimates, around 68% of the total adult population in the country had access to the conventional forms of media. Some of the fastest growing segments in the domestic entertainment industry include music, cable and satellite television, animation and FM.

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A report compiled jointly by FICCI5 and Ernst and Young forecasted that the size of the Indian entertainment industry would more than double from Rs 192,000 million in 2003 to Rs 423,000 million in 2008. With the opening up of global entertainment avenues to domestic consumers, the growth in this segment was expected to continue at a steady pace in the coming years.

Several positive developments like the accordance of the 'industry' status to the film industry, satellite channel penetration, the retail boom in the channels for music sales (Music World & Planet M), the use of digital technology in all spheres of entertainment, customer centric innovations like 'hamaraCD', 'Qjam', video-parlors and the growth of multiplexes had contributed to the growth of this sector.

The entertainment industry was entering a consolidation phase as borders between films, music and television were fast disappearing. Skills and resources were being pooled extensively and multiplexes which included a host of entertainment paraphernalia were growing phenomenally.

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5] The Federation of Indian Chambers of Commerce and Industry (FICCI) was established in 1927 to garner support for the independence movement and safeguard the interests of the Indian business community. It had 24 members in 1927, but has since then grown to more than 3000 members by the turn of the century. By early 2000s, more than 500 Chambers of Commerce, Trade Associations and industry bodies spread over the length and breadth of the country were associated with FICCI.


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