A Business Strategy Study of Hakka Pop Music Independent Label
Author
Tsui-Sung Wu
Keyword
Hakka pop music independent label, business strategy, differentiation strategy, cost leadership strategy
Abstract
This paper primarily explores the business strategy of Hakka pop music independent label. In this paper we adopt porter’s generic strategies to be explained frameworks.
Porter’s generic strategies are Cost Leadership, Differentiation and Focus. The cost leadership strategy advocates gaining competitive advantage due to the lowest cost of production of a product or service. The differentiation strategy involves creation of differentiated products for different segments. The ‘focus’ strategy involves focusing on a narrow, defined segment of the market, also called a “niche” segment.
For further to understand the changes for the business strategy, the research time was divided into two periods with 1998 and interviewed 3 Hakka pop music independent label’s managers, 3 Hakka pop music independent label’s singers and one Hakka pop music independent label’s creative director .
The research results reveal that three Hakka independent labels stressed on marketing and positioned Hakka area, according to the Porter’s generic strategies framework, we can say that the business strategy was more oriented toward “differentiation” strategy before 1998.
In contrast, because the pop music market is in a slump, the three Hakka pop music labels rarely spend money on marketing and singers training. In favor of taking over the business strategy was “cost leadership strategy” after 1998.
Porter’s generic strategies are Cost Leadership, Differentiation and Focus. The cost leadership strategy advocates gaining competitive advantage due to the lowest cost of production of a product or service. The differentiation strategy involves creation of differentiated products for different segments. The ‘focus’ strategy involves focusing on a narrow, defined segment of the market, also called a “niche” segment.
For further to understand the changes for the business strategy, the research time was divided into two periods with 1998 and interviewed 3 Hakka pop music independent label’s managers, 3 Hakka pop music independent label’s singers and one Hakka pop music independent label’s creative director .
The research results reveal that three Hakka independent labels stressed on marketing and positioned Hakka area, according to the Porter’s generic strategies framework, we can say that the business strategy was more oriented toward “differentiation” strategy before 1998.
In contrast, because the pop music market is in a slump, the three Hakka pop music labels rarely spend money on marketing and singers training. In favor of taking over the business strategy was “cost leadership strategy” after 1998.