Sony Music India or SMI, is a solely retained subsidiary of SME, Sony Music Entertainment. The company initiated set-up in India from 1996 to 1997 in order to market both international and national music titles in India. Because of its success and use of state-of-the-art technologies, SMI has become one of the most advanced music companies India. Customers value the added services SMI offers especially if they decide to launch a digital platform for their music and other projects. India has already experienced a boost in sales thanks to the growing E-commerce in the country. The music industry overseas with iTunes and SoundCloud provide consumers with a variety of choices for music making companies like SMI feel a need to compete and therefore generate their own presence within the music industry. Therefore SMI began an "e-initiative" that enabled music lovers along with other users to visit the website, www.sonymusicindia.com, to allow consumers access to information, interact with customer service and purchase music online. Essentially SMI generated a platform for personnel to manage the cyber-mall through an internet-based management section.
E-commerce Application
SMI began development for E-commerce application through use of Microsoft Commerce Server 2000. "The architecture incorporates the 'n-tier' technology which enables the system to seamlessly integrate and interoperate between heterogeneous systems" (Sony Music India, 2014). Use of such technology made the design reliable, scalable, and entirely automated system to deliver smooth and seamless order processing. The E-commerce initiative offered key features like secured online buying, order processing and management, catalog management, site administration, and listening post. The other technology used in this endeavor was ASP with SQL server 2000.
Going further into the key features of the E-commerce initiative, secured online buying meant that customers could safely use their credit card online as a form of payment through incorporation alongside a payment access. Order processing and management is integrated within the site through use of a third party agency to assist in order fulfillment. "All orders placed on the web site are routed to the order fulfillment agency and once the orders have been dispatched the same is updated on the website" (Sony Music India, 2014).
Along with secured form of payment and order processing, the catalog management system allows SMI to continually update their catalog of music and entertainment titles. It also allows updates in any place at any time. The system is designed so SMI can update according to inventory availability through means of simply batch upload using a flat file. The administration module then checks stock availability, order processing, and keeps track of everything happening within the site. Examples of this are: "the albums that should be displayed on the Home Page and the priority of these items, the banners that should be displayed, etc." (Sony Music India, 2014).
Integration of a listening posts assists users by offering them a chance to listen to music before purchase. The options are in both Hindi and international. This option helps consumers make informed decisions when purchasing music. It also prevents piracy because the site does not allow download of the music users listen to. It is a simple, yet effective means of controlling the information that runs on the website as well as service the customers that venture onto the website interested in new song titles.
Although an E-commerce website has already been integrated into SMI and has been for several years, there are still some hurdles to overcome if they are to match the level of advanced customer service and order processing that their competitors have overseas. The iTunes store, which is one of the leading digital entertainment platforms, has long been able to satisfy the needs of customers by branching out into television programs and movies. If SMI can integrate other things besides music into their E-commerce platform, they could possibly develop more demand within Indian consumers and even reach international customers.
Economics of the Indian Music Industry
Technology in recent years has created a shift in the music industry. Some of that has gone on to show in places like India where traditionally music was bought and sold without the use of digital platforms. CDs and tapes have gone down in sales while sales in digital platforms have increased. The digital platform that runs in India currently is through the telecom business, but Indian consumers have begun accessing music through their tablets, smartphones, and mobile devices, leading companies like Sony Music India...
A high rate of turnover may indicate too strict credit policies or an inability to extend credit. It is the tradeoff between sales and tying up funds in receivables. Sales to Working Capital - measures the relationship between sales and the working capital of a business. Too high a ratio may indicate an insufficient amount of working capital. Too low a ratio may indicate unproductive assets. Sales to Total Assets -
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