Brave new world
Record labels look to diversification as a way to stay viable
Bryan Birtles / bryan@vueweekly.com
Record companies are built upon a suspect business model that runs rampant in the media business. Instead of each release making a modest profit, record companies—not to mention movie studios, book publishing houses and a myriad of other, similar industries—have long relied on the massive profits of one huge hit to cover the losses of a series of flops.
This model, which endured for decades, finally became untenable in the late-'90s...