Digital music and the “death of the long tail”

Abstract

Digital distribution is a new technology that is revolutionizing the pop-rock music market. Extensive debate exists on the long tail theory that predicts a niche strategy in the pop-rock market versus the conventional wisdom of a “superstar effect” that predicts skewness in the market outcomes for artists. This research tests the empirical evidence of such effects and elaborates on how the firms respond to this disruptive technological revolution and how this response changes strategic management.