Blog Post

Wal-Mart Wants $10 CDs

This was the story I was mentioning a couple of days ago…Wal-Mart is using its muscle to ask labels to sell CDs to the giant at lower this case, lower than $10. And the labels have little choice: if Wal-Mart cut back on music, industry sales would suffer severely — though Wal-Mart’s shareholders would barely bat an eye. While Wal-Mart represents nearly twenty percent of major-label music sales, music represents only about two percent of Wal-Mart’s total sales.

One thing the story doesn’t take into consideration: the digital sales…