Re: OT: CD Prices at CD WOW

["David Buckley" <db@xxxxxxx>]

In ukha_d@yahoogroups.com, Stephen <yahoo@s...> wrote:
> On Sun, 25 Jan 2004 21:15:57 -0000, you wrote:
>
> I still can't see how cdwow was held to ransom. If an
> artist releases internationally, why can't we buy from
> abroad?

Fundemental misunderstanding number one: artists do not "release
internationally".  Artists dont actually release anything at all.
National record labels release stuff created by artists.  This is
why apparently the same CD (ie the tracks contained theron have the
same bit pattern) will be on a different label in different
countries.

The BPI represents the British labels.  If you buy a CD sourced from
HK then the British company loses money whilst the foreign one gains.

Thus the British companies will use the tools at their disposal to
prevent you from buying from somewhere that reduces their income.
Sadly, the law is on their side.

Most of the money in the CD chain (hell, in all retailing) is in the
latter stages of distribution, not the former.  The artist gets very
little of the sale price of the CD and doesnt much care which
territory it is flogged from.

Just to be clear - this law applies to any "branded" goods.  Thus
X10 would be entirely within their rights to prevent retail sale of
their product in Europe not sourced from within Europe.  They dont
bother, 'cos its not worth it, but if you're a volume seller (like
Sony, Levi or a British record label) the lost dosh makes it worth
the trouble.



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