Economic and Financial Fundamentals Applied to Music Business
MBUS 3755
3 hours
Economic and Financial Fundamentals Applied to Music Business
Analytical Thinking
Critical Thinking
Course Description
Fundamental concepts in economics, finance, strategy, and accounting as applied to and illustrated by the music industry. Students will learn core theories and tools; apply accounting, valuation, and financial methods to real music-business scenarios; analyze revenue streams, and organizational structures; and evaluate strategic options.
Athena Title
Econ/Finance in Music Business
Prerequisite
First year student standing
Pre or Corequisite
ACCT 1160 or ACCT 1160E or ECON 2105 or ECON 2105E or ECON 2105H or ECON 2106 or ECON 2106E or ECON 2106H
Semester Course Offered
Offered fall and spring
Grading System
A - F (Traditional)
Student Learning Outcomes
Students will use foundational concepts from both classical and behavioral economics to analyze scenarios within the music business.
Students will evaluate the role of markets, and the absence of well-structured markets on pricing and valuations in various segments of the music industry.
Students will develop a complete and accurate chart of accounts appropriate for a small music business enterprise.
Students will perform financial and probability calculations relevant to music business contexts, including asset valuation of compositions and recordings.
Students will integrate fundamental theories of management and strategy to perform structured analyses of music business scenarios, including conducting a SWOT analysis.
Students will demonstrate a working knowledge of key epistemological concepts and logical fallacies, and apply these frameworks to critically evaluate data, eyewitness accounts, and anecdotal evidence.
Students will analyze the impact of disruptive innovation on the music industry and apply the strategic framework to evaluate emerging opportunities and challenges for music business enterprises.
Topical Outline
Overview of the music business including history, sources of income, and roles of different entities
Basic concepts of bookkeeping and accounting applied to the music business.
Fundamental concepts and history of economics applied to the music business.
Finance in the music business pertaining to: time value of money, valuing uncertainty, and the volatility theory of the music business.
Management concepts including traditional management theory, disruptive technologies in the music business, and SWOT analysis.
The future of new models/technology for the music business, copyright and public policy wars, and artists compensation.
Institutional Competencies
Analytical Thinking
The ability to reason, interpret, analyze, and solve problems from a wide array of authentic contexts.
Critical Thinking
The ability to pursue and comprehensively evaluate information before accepting or establishing a conclusion, decision, or action.
