Music is something that people enjoy; it satisfies some need or desire. Like other human needs, such as food or shelter, the need for music is best served when a free markets allow a matching of supply and demand. Without a free market, the music people most want to hear would be less likely to be produced.
A person in the commercial business of music might approach the analysis of a musical work as follows:
- Does this music serve a need? Is it something that people will find compelling and want? (DEMAND)
- Does there exist a market in which this music can be part of a commercial transaction? That is, is there a suitable place or venue that would allow us to sell this music to those who might want to buy it? (MARKETPLACE)
- Is the production of this music economically viable? That is, will the income generated be greater than the cost of production and distribution? (PROFITABLE)
- What other music might people prefer to purchase instead of this music? (COMPETITION)
- How certain are we of the potential expenses and income? That is, how risky is this venture? (RISK)
- Are there more profitable opportunities that should be addressed first? (OPPORTUNITY COST)