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Q: How might SWOT analysis be useful to Mike Rapino?
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What do you think that rapino's strategic direction for live nation?

t appears as though Live Nation may be using two kinds of growth strategies;Concentration, which focuses in its primary line of business (in this case the musicindustry), and "increasing the number of products and services offered or marketsserved in that primary business"(Robbins & Coulter, 2009), and horizontal integrationby combining with competitors. In 2009, Live Nation announced they were merging withticketmaster to "expand into a complimentary business" (Rapino, 2009).With the concentration growth strategy, Rapino is able to offer many products such asconcert tickets, merchandise, videos, and albums when other companies only offer oneor a couple of these products. Using the horizontal integration growth strategy Rapino isable to eliminate competition and keep profit inside the company."The key to Live Nation's growth strategy is the ability to connect to those millions of people who attend shows every year" (Robbins & Coulter, 2009). By keeping a databasethat includes contact information for every fan (or client) that Live Nation has ever had,Live Nation is able to "connect" fans to their artists with greater ease. By strengtheningthe artist to fan connection, the purchase of merchandise and tickets is easier and helpsLive Nation to keep growing and profiting.How might SWOT analysis be useful to Mike Rapino?A SWOT analysis is an analysis of the organization's strengths, weaknesses,opportunities, and threats (Robbins and Coulter, 2009). The SWOT analysis would bevery useful to Mike Rapino. He would be able to identify what his mission, goals, andstrategies are for the current company. Mike currently states Live Nation is the "futureof the business". His current strategy is to connect the artists to the fans. He is notsatisfied with just this strategy. Mike is now starting to focus on creating a new strategy.He wants to create a one-stop operation that would handle all the musical needs of theartist (Robbins and Coulter, 2009).In a SWOT analysis Mike would be able to see the external and internal factors thatwould affect the corporation. An external analysis would examine the trends andchanges in the environment. He would then list his opportunities the organization couldexploit and threats that must be counteracted against (Robbins and Coulter, 2009). Aninternal analysis would show information about the organizations resources andcapabilities.


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