As noted by Marks
(2017), the “No Music, No Life” outlook of Tower Records, an international
retail music chain, launched its brand into almost 200 locations and, at its
peak in the late 1990s, yielded annual sales topping one billion dollars. In
2006, however, Tower Records filed for bankruptcy. The following discussion explores
two of the external forces contributing to this demise, emphasizing the fact
that deterioration sometimes occurs because of factors beyond the control of
the organization. Concluding remarks focus on the relevance of the identified
forces.
Marks (2017)
detailed the origin story of Tower Records and explained that it was the
brainchild of Russell Solomon who opened the first location in Sacramento,
California in 1960. While it started as a record retailer, it eventually grew
to include posters, plants, books, DVDs, games, toys, and accessories. Stores
popped up across the globe to respond to its increase in demand and, in
addition to becoming a place to purchase commercial goods, Tower Records provided
a place to gather and converse.
Advances in
technology initially boosted the success of Tower Records. For example, according
to Marks (2017), video technology was embraced by the music industry and MTV’s airing
of music videos sparked an increase in sales because listeners wanted to
purchase the song for which they saw the video. The introduction of compact
discs (CDs) offers another positive example as its new format drove consumers
to upgrade their vinyl collections. Unfortunately, however, not all technological
advancements were favorable. Davis and Higgins (2013) referenced companies like
Apple and its business model that fused technology, digital media, and online
innovations. The Apple iPod, backed with iTunes services, enabled consumers to cost
effectively point and click their way through building a digital media
repository. The novelty and convenience of this streamlined process framed Tower
Records, and other traditional music retailers, as cumbersome, expensive, and outdated.
Legal considerations
also played a role. Hracs (2012) demonstrated the influence of MP3-formated
file sharing networks and how services like Napster introduced a culture of peer-to-peer
music exchange. With such a service, individuals could freely download music
files that were uploaded for circulation by another participant. Because it
ignored copyrights, the practice was illegal, and Fox (2004) explained that so
many people were willing to engage in the illegal behavior because of the low probability
of being caught. Stealing a CD from Tower Records, for example, was much more
likely to be noticed than accessing a shared audio file from an online site. As
such, the theft became an acceptable activity with which to engage and millions
of individuals were willing to turn a blind eye to the ethics of such behavior.
If law enforcement did not catch them, then perhaps it was not so wrong.
As I reflect upon the
rise and fall of Tower Records, a few things come to mind. First, I cannot help
but draw parallels to my childhood memories of visiting the local video store. Picking
out a Friday night movie was an event. It was an enjoyable experience to walk
up and down the aisles, pick up a contender, and view its packaging. Now, with
a smart television linked to every desirable streaming service, I realize that
this is something my daughter will never experience. As I feel the music store
experience was similar, I note that the art of making a music selection is now
stripped of its charm and reduced to a more anonymous transaction. Granted,
there are many conveniences that these digital processes have afforded, but it
is sometimes worth stepping back to realize that maybe not all of them are inherently
positive.
Another important
point is that many people find their computing device to provide a shield of
protection. By this, I am referring to the concept that certain actions that
are not acceptable in a physical environment are suddenly felt to be acceptable
in an online one. I assume that because they are either anonymized or digitally
executed, individuals feel they can escape the repercussions of destructive
behaviors. The illegal file sharing is obviously one example, but cyber-bullying
is another similarly negative trend that is very much relevant today. It is
therefore important to keep in mind the fact that new sets of challenges arise
with every modern development.
References
Davis, T., &
Higgins, J. (2013). A Blockbuster failure: How an outdated business model destroyed
a giant.
Fox, M. (2004).
E-commerce business models for the music industry. Popular Music and
Society, 27(2), 202-220. 10.1080/03007760410001685831
Hracs, B. J.
(2012). A creative industry in transition: The rise of digitally driven
independent music production. Growth and Change, 43(3), 442-461.
Marks, B. (2017).
The rise and fall of Tower Records. Flashbak. https://flashbak.com/the-rise-and-fall-of-tower-records-385647/
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