Mister Peterson’s Neighborhood: Clear Visions: Midterm Research Paper: TIDAL
TIDAL’s Worldwide Worth
Al Pete turns his midterm paper into an audio, and rebirth his Tribute mixes, which was an inspiration gathered while…www.mixcloud.com
The world of streaming media has continuously evolved with the help of ongoing technology developments, the demographics of worldwide companies that demanded the growth and the democratic cultures that add influential power to the creation. The emergence of music streaming services has served as a cap for piracy, along with progressing the average consumer’s encounter with the music culture. In 2015, Shawn Carter, also known as Jay-Z, inquired and eventually purchased the TIDAL precursor, Aspiro with his formed company, S. Carter Enterprises. His development theory for the creation of the global streaming and entertainment platform TIDAL was based around numerous thoughts, that varied between the historical routines of record companies and their lack of involvement with the artists and how these systems improperly dictate the culture that holds all of the estate. These and other aspects that compliment the evolution of TIDAL have shown reaping benefits to the company, as well as the streaming media climate.
As taught in our International Business course, a multinational corporation, stylized as MNE, offers investments (link to local and abroad companies, capital formation), human resources (employment and skills for up and coming managers), technology (industrial upgrading and effective equipment to serve the company’s purpose), environment (companywide standards, etc.) and trade (related import and export factors). Jay-Z’s purpose has cultivated people’s outlook on entrepreneurship, doing business with companies that would increase his and the selected company’s core competency and setting a presence for all cultures involved to flourish independently.
TIDAL is a streaming service that is available in 53 countries (and counting). This data establishes them as a multicultural corporation, being that they have their services offered in multiple countries, including Spain, Norway, the Netherlands and in the United States. In August of 2018, TIDAL presented their partnership with MTN Group Limited, a mobile telecommunications company based in South Africa, to the news. The joint venture between the two companies gave the ten-plus million subscribers access to a free subscription to the streaming services through their phone plan. Lior Tibon, the COO of TIDAL, released a statement that shared the company’s purpose for providing Africa with an exclusive service. He stated that Africa music adds to the worldwide music inspiration and that they are glad to be able to expose various music to their culture.
Within the past two years, the African music culture has been increasing in the United States. The sound and the vibrance of the culture has grasped many music consumers, producers and even record executives. The fact that TIDAL has this platform available in Africa gives this group of entertainers a better option to be recognized, which will lead to an artist’s development in their seeking profession. To add on, MTN Group has businesses that are located throughout Europe and Asia, so the artist’s exposure widens. This practice is a firm example of building awareness within a culture outside of the home-based culture.
With expanding a service efficiently throughout various countries, problems are bound to appear. One of the issues that TIDAL is facing with their services being released in Africa is that there is currently a legal controversy about the continent, more so Ugandans, having to pay a fee to use multiple social media platforms. The reason for this taxing looks to be in effect so that ‘gossiping’ would decrease and to promote more usage for educational and research reasons. Another factor of the taxation gears towards the culture’s socio-political stance. Most musicians’ works are being banned by the country’s government due to the values and practices of the culture, so with the streaming service being offered to the culture, it gives a voice to the world that an average consumer, or a music company, would not received. TIDAL has not been determined if they are included as a social media platform.
When speaking on how a certain streaming service deals with the artist’s compensation, the deals that are negotiated are solely between the streaming company, the record labels and the publishers that host the artist. Many deals, that are not usually publicized, come down to the agreements of both parties. The artists, in most cases, are subordinate to their respected record label and have to hold a standard to their publisher. With that, most of these deals are determined by the contractual agreements that the label and publisher establishes. Outside of the streaming company having to do extensive research on the artist, along with their targeted markets and demographic influences, the record labels and the publisher have to conduct the same form of research to see how the artist’s catalog will benefit for being on their platform. This research includes analyzing the values, attitudes and the ascribed or acquired group memberships that the focal culture holds.
TIDAL has an indirect mission statement that caters to the artists, mostly. The main reason for Jay-Z’s inquiry on purchasing the company was for the artists to be able to hold more financial ownership of their masters, which most record labels and publishers own. Various sources show that many music artists are not receiving the accurate and due pay for their music being streamed. The subject examples are reflected with other streaming companies, including Spotify, Apple Music, Pandora and YouTube. The point that TIDAL has begun their streaming services in Africa is a huge accomplishment, being that this service gives the musicians free range to be expose internationally, and be able to collect and build their financial capital. Now, the artists would still need to ‘fine line’ their business endeavors, but TIDAL offers a non-formal education on capital formation.
The companies that operate their streaming services pride on having exclusivity within. TIDAL offers two prominent programs: TIDAL Rising and TIDAL X. These programs align with their mission statement and the values that will ultimately benefit everyone involved, from the music artists to the stakeholders of the company. To speak more on the stakeholder’s position, TIDAL is pushing for the stakeholders to consists of the artists, as well as a typical business owner. Also, these programs help with the expansion of the musicians, the company and the overall integrity of the music culture to a broader audience.
The TIDAL Rising program focuses on new artists being represented in a non-traditional format to the world. While most streaming platforms work strictly from a technical format, TIDAL works diligently on developing a organic relationship between the artists and its established fans, while giving them the opportunity to create new fans outside of their local region. The program offers services ranging from public relations support, direct placement on their streaming services and website and live show bookings. These components are displayed to millions of consumers around the world, a factor that puts TIDAL over their competitors. The TIDAL X program expands on the artist to fan experience by offering numerous exclusive perks, including live shows being streamed worldwide through the application, meet and greets in selected cities and countries and concert tickets for the consumer’s sole usage.
One of the positive and impacting strategies that TIDAL exercises is their effort to educate the artists and the consumer. This data is presented on their website under the About section titled “Where Do My Monthly Subscription Fees Go”? The illustration is broken down in a perfect manner and it gives a sense of understanding on how the company handles the consumer’s funds. An example that was stated on the website is how Apple has a 30% surcharge for signing up for TIDAL through their iPhone app store. TIDAL basically cut out the middle man by giving the option to purchase their subscription directly through their website. This practice shows that TIDAL values the artists, the consumers and the shareholders of the company while adding value to their universal process.
TIDAL has been precise and diligent with the structural order of their company. As with any global company, they face criticism, government restraints and legal situations. Throughout these common occurrences, they remain firm to their uprising values and it shows with the public data presented, along with the support of many national music artists like J. Cole, Beyoncé (which is a given, being that she is his wife) Daft Punk and Madonna. The differentiation strategies that are being used for TIDAL have played an empowering role to millions of people. The elevation of TIDAL not only added value to Jay-Z’s entrepreneurship, it added to the world.
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