Spotify TM Essay Example | Topics and Well Written Essays - 2000 words

Spotify TM - Essay Example The report bases its arguments on research information from various sources. Moreover, the report provides various recommendations about the topic. These recommendations are relevant to any company that considers information systems significant in their operations. Introduction Spotify TM is a music service company that streams music to its customers through desktop and mobile phone. The company has a vast database with millions of songs that millions of subscribers can listen to from the internet. Currently, the company has more than 20 million users. Its services are mostly available to European countries (Li, Peters, Richardson & Weidenmier, 2012). It has been able to maintain its market in the competitive music business due to its competitive nature. The company also uses strategic measures that have been able to keep the company running. Its key technique has been the use of information systems that are strong enough to sustain the business plan of the corporation. This report f ormulates and evaluates the company’s strategy and frameworks in maintaining their business. It also discusses theoretical perspectives on how the company uses technology to build a competitive advantage for its sustainability. Moreover, the report also provides recommendations that the company can adopt to enhance its business. The company allows one to buy a spotify software program that users can use to stream music from a huge collection of music, and tracks (Lashley, & Clark 2013). Users stream this music using their computers, mobile phones, and tablets. The need exists for one to download the music he listens to, but only entails streaming the music. SPOTIFY TM All companies have business strategies of which state their goals. Business strategies state methods through which they will be able to attain the set goals. Spotify TM has been able to implement various models by Michael Porter in achieving its goals. Spotify TM uses information systems to its advantage in usin g the five forces model. For instance, the company’s uses an interactive website that provides easy navigation by a subscriber on the internet (Rice, 2010). The website arranges its content in a good way that makes the content well visible. The font that the website uses is attractive and makes it easy for a subscriber to view things clearly. Therefore, subscribers become loyal as the company provides better services to its customers. This aspect has been able to create a barrier to new companies from entering into the market (Jenkins, Leicht & Jaynes, 2008). In addition, users can browse music by record label, album, genre, playlist, artists, and through direct searches. With a better website that provides quick services to its customers, the company has been able to lower its charges to its subscribers. It also provides a free six-month trial period once one creates an account. This is due to the increase of subscribers to the company’s services. This creates a buyer power that helps the company to maintain its companies. There are also wide alternatives that customers can choose from in their subscription plans. Hence, the company has a wide range of customers that can subscribe to its services. The company allows one to listen to an unlimited number of music that supports radio-style advertising that the company removes once one subscribes fully.