A Careful Examination of the Live Nation-Ticketmaster Merger

As great admirers of The Boss and as fans of live entertainment, we share in the popular dismay over rising ticket prices for live performances. But we have been asked as antitrust scholars to examine the proposed merger of Live Nation and Ticketmaster, and we do so with the objectivity and honesty called for by The Boss’s quotes above. The proposed merger has been the target of aggressive attacks from several industry commentators and popular figures, but the legal and policy question is whether the transaction is at odds with the nation’s antitrust laws. One primary source of concern to critics is that Ticketmaster and Live Nation are two leading providers of ticket distribution services, and these critics argue that the merged entity would have a combined market share that is presumptively anticompetitive. We observe, however, that this transaction is taking place within a rapidly changing industry. The spread of Internet technologies has transformed the entertainment industry, and along with it the ticket distribution business such that a reliance on market shares based on historical sales is misleading. A growing number of venues, aided by a competitive bidding process that creates moments of focused competition, can now acquire the requisite capabilities to distribute tickets to their own events and can thus easily forgo reliance upon providers of outsourced distribution services. If self-distribution is an available and attractive option for venues, as it appears to be, then it is unlikely that even a monopolist provider of fully outsourced ticketing services could exercise market power. Ultimately, a proper assessment of the horizontal effects of this merger would have to weigh heavily the emerging role of Internet technologies in this dynamic business and the industry-wide trend towards self-distribution. The second category of arguments by critics opposing the merger rests on claims that vertical aspects of the transaction would produce anticompetitive effects. Indeed, Ticketmaster’s and Live Nation’s core businesses are in successive markets, and thus the proposed transaction is primarily a vertical merger, but there is broad agreement among economists and antitrust authorities that vertical mergers rarely introduce competitive concerns and are usually driven by efficiency motivations. This wealth of academic scholarship, which is reflected in current antitrust law, has not - from our vantage point - been properly incorporated into the public dialogue concerning the proposed merger. To the contrary, critics articulate concerns, including the fears that the merger would lead to the leveraging of market power and the foreclosure of downstream competition, that are refuted by accepted scholarship. Moreover, there are a number of specific efficiencies that, consistent with economic and organizational theory, are likely to emerge from a Live Nation-Ticketmaster merger and would be unlikely but for the companies’ integration. For these reasons, we submit this analysis in an effort to inform the debate with current economic and legal scholarship

Exploring Customers\u27 Perceptions of Third Party Maintenance, Repair, and Operating Programs

A survey of 25 industrial manufacturing organizations in the U. S. indicated that 70% of respondents experienced dissatisfaction with their outsourcing programs due to unfulfilled expectations, which caused negative continuance intentions. The purpose of this descriptive case study was to explore the experiences of customers who currently use 3PMRO outsourcing programs to determine what factors affect satisfaction levels in the Southern United States. The conceptual framework for this study was the expectancy disconfirmation paradigm, which connects consumer satisfaction level to the fulfillment of consumer expectations. Data were collected from interviews of 22 procurement professionals of maintenance, repair, and operating supplies; observations of 3PMRO supplier performance meetings; and the analysis of performance scorecard documents. Data were analyzed using pattern matching followed by thematic analysis. Three themes were identified through the data analysis that affected consumer satisfaction: inventory management services, utilization of outsourced labor resources, and total cost value of the 3PMRO program. According to results, satisfaction of 3PMRO consumers are based on the proper utilization of a 3PMRO program for the intended limitations of the organization, reduced MRO supply costs, improved inventory management strategies, and improved competitive advantage from the realignment of resources to focus on core competencies. Implications for positive social change include increased awareness of cradle-to-grave inventory management to prevent improper disposal of non-biodegradable materials into our environment

Revitalising the Outsourcing Discourse within the Boundaries of Firms Debate

Despite outsourcing has been at the core of managerial practice and literature for a long time, still authors do not agree on a clear understanding of the overall outsourcing process. This article answers two main questions, relevant to researchers and practitioners: 1.What are the main findings so far in outsourcing literature? 2. What do we still need to learn? Through a comprehensive review of the literature, we offer systematization of the existent body of knowledge on outsourcing, its implications on firms’ boundaries, and the theoretical challenges. In conclusion, implications for managers are drawn

Producing abroad while making profits at home:Veneto footwear and clothing industry

Over the last twenty years globalisation has brought about a sharp increase in the real and financial integration of the worldwide economy. In this closely knit context, the outsourcing of some of the productive and trade activities abroad has become one of the focal points of the policies followed by businesses in order to handle competition at worldwide level. In the 80s Italian clothing and footwear firms faced the increased competition in the international markets by outsourcing to domestic subcontractors and in the 90s transferred much of the previous outsourcing abroad, in countries with low labour costs, mainly in Eastern Europe, North Africa and East Asia. This paper is aimed to assess the impact of the offshoring strategy on firms. performance. It is based on a survey delivered to a group of 70 final producers, operating in the Veneto, that during the 90s began to manage production on a global scale. Direct investments, subcontracting and partnerships that materialize in product manufacturing abroad are considered as forms of international outsourcing. On this basis, by combining direct observations with balance sheets data, and data on employment stock at the firm’s level, the impact of the offshoring decision is evaluated. The study shows the importance of production management along the global value chain in giving new competitivity to the Veneto traditional sector.production organization, global value chains, fragmentation, internationalization, clothing industry, Italy

Outsourcing and International Production of a Multinational: A Theoretical Model and Empirical Evidence from Toyota, Thailand

A stylised partial equilibrium model of an MNC is developed. The model incorporates key aspects of outsourcing in a world of falling trade costs. The multinational, with firm-specific capital operates in two countries that differ in factor prices; it produces final goods with firm specific capital but can source multiple intermediate goods internally from each subsidiary (produced with firm-specific capital and labour), or outsource them from domestic or foreign suppliers. There is a potential trade off between scale of final good production and scope of in-house component production. Trade liberalization can affect both country and organization choices of the firm’s component sourcing and final-good production. We also use a previously unused data set on component trade of Toyota in Southeast Asia to conduct an empirical investigation informed by the model insights.Intra-firm Trade, Trade in intermediate inputs, direct foreign investment, multinational corporations and outsourcing

Supply Chain Analysis at Swedish Match, South Africa - Complemented with an ISO 9000 evaluation

Swedish Match is a global Group of companies with a broad assortment of market-leading brands in smokeless tobacco products, cigars, pipe tobacco and lights products. The South African organization comprises of three individual companies that were acquired between 1999 and 2001. This thesis was focused on two of these three companies, Leonard Dingler and Best Blend with pipe tobacco as the most important product. Leonard Dingler is contributing with more than half of the total annual sales in South Africa. Leonard Dingler contains the main manufacturing unit and head offices at the premises. The purpose of this thesis was to create an overall measurement of Leonard Dingler’s and Best Blend’s Supply chain performance. Purchasing, production, distribution, and integration between each department were evaluated to create an overview of the organizational performance. It became evident during the progress of the study that some functions were intangible and an overall performance wasn’t measurable. The study was therefore complemented with an ISO-9000 approach and how such an approach would impact involved processes, functions, and departments. This thesis also contained two sub-objectives that needed to be accomplished: Problematic areas were to be found and future organizational recommendations were to be suggested. The study was performed and results were based on interviews with involved personnel and various affiliates, observations of day-to-day activities, and data collection. These empirical findings were analyzed through usage and comparison with the theoretical framework that was obtained from literature, articles, electronic sources, etc. Focus of the study was put on four areas of the supply chain: Purchasing, production, distribution, and integration between these departments. It became evident that several of the processes within these departments totally lacked a structured approach. Documentation, work procedures, and policies were non-existing within purchasing which impacted outcomes accordingly. Production was managed through a structured methodology and the results and improvements within this department were more than satisfying. Distribution was outsourced to a third-party logistical company which provided the core company with monthly reports. Integration was a process that wasn’t emphasized and focus should be put on this area to enhance interaction between involved personnel. The outcomes of the study were almost in line with the set objectives. An overall picture was created, problematic areas were found, and recommendations were proposed. But an overall performance analysis wasn’t accomplishable since several processes within the supply chain didn’t provide measurable or accurate data. Future recommendations were discussed with top management in order to design achievable suggestions that can be used for future improvements. These proposals can and should be used as guidelines to continuously improve the organizations activities and processes. These recommendations can hopefully enhance the overall performance of the organization

The Structural Crisis of Labor Flexibility

Paper evaluating the CCC’s aims, strategies, and activities. It includes an analysis of the persistence of poor working conditions in the garment industry; an overview of CCC strategies and the debate over codes of conduct, monitoring, and verification; and the description of three broad strategies for future action aimed at increasing the impact of voluntary, private instruments on working conditions