Via Businessweek.com
For satellite radio in the U.S., there is now no other choice following the July 2008 merger of the two former rivals. The merger is an interesting case for law students because it shows how struggling rivals may be given the latitude to create a monopoly until new technologies catch on among consumers. Of course, if the market definition is broadened to include music for businesses, Sirius XM (SIRI) competes with Muzak; if the market is defined as all radio listeners, it has countless competitors.
Good for Sirius XM!
Hope everyone has a great Christmas!
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Sirius Xm is a great product. The problem with it as a viable company is the length of time of the merger, the economy tanking along with auto sales. The good news is again, it’s a great product. I believe that Sirius Xm has to be more pro-active when it comes to marketing. Now is not the time to cut back on marketing. It’s now or never. If you in a fight and you get knocked down you can’t finish the fight in a defensive posture and expect to win. You need to go after your competition by reaching out and putting your wares in the consumers face. Why do 19 million people subscribe to this service? Because it’s worth it to them. Know with lower subscription costs you have to bang the drum and that is not happening. If their main concern is the bottom line, Sirius Xm is in trouble. The after market installs could be ramped up with a little advertising. Bottom line is to go after the young people like Steve Jobs did w/ the I-Pod. I-Pods are not factory installed either! The bottom line will take care of itself if you increase the subscribership.