I Want to Break Free: Opportunity Costs of Artistic Freedom

Abstract

The advent of the internet and social media has created new opportunities for musicians to connect with their fans. It allows them to market the contents directly to the fans and thus create a fan base that can be commercialized without the need for intermediaries. Unlike the past when marketing resulted in sales of music copies, the modern ranking does not directly lead to financial success. The record labels are known to take up most of the revenues generated and thus leaving musicians with only a portion of the revenue. The benefits of going independent include high earning potentials and freedom to explore new income-generating activities such as merchandizes and endorsements. The revenue generated from independent musicians will only deduct their operational costs. The prices of the tickets are at an all-time high and thus creating a new opportunity where individual musicians can optimize in performances, and earn higher margins as opposed to being signed by a record label company. Is there a tradeoff with record sale in this new age; has been the overall question. While there is often a tradeoff with record sales and exposure, there is a benefit when it comes to ownership and profitability.