Universal Music Group: a veritcally integrated company

Vertical integration is a business model in which a large company owns smaller companies which play different roles in the promotion and sale of he product.
The company can therefore generate large revenues from each product by using different branches of the business to make and promote it.

Make notes in the boxes to show what role each part of UMG takes in the process of selling muic. What do you think each company does?

Music publishing - Universal Music Publishing Group
UMG owns their own publishing company which gives them great advantage because they can copyright their own released music hence having all the power and control. UMPG the industry's largest global music publishing operation.

Finding artists, recording and producing music - subsidiary record labels

Promotion - Twenty-First Artists management/All The Worlds live promotion and booking

Merchandising  - Bravado
The absolute service: Bravado, is a part of UMG and is in charge of all the merchandise marketing for the UMG. The company works closely with new and established media clients, making creative products specifically to the artist featured. Products are sold on live tours, through retail outlets and through online stores. Bravado also licenses rights to an extensive network of third party licensees around the world.
Bravado offices are London, Los Angeles, New York, San Francisco and Stockholm, and partners with companies in Germany, France, Japan, Australia and South America.
Licensing - Universal Music Enterprises/Universal Film and Television licensing. Also Vivendi Games and Mobile, Universal Pictures, NBC Universal TV

Distribution - Universal Music Group Distribution