MEIEA Summit 2025

                 Morgan Bryant, Moderator
2:45 - Contributing Elements in the Decline of a Music City or Music Business Cluster
3:15 - The Economic Impact of Music Zones on Local Businesses in the U.S.: A Venue Concentration, Tourism, Economic, and Business Index Approach

Contributing Elements in the Decline of a Music City or Music Business Cluster
  Dan Galen Hodges, Jr., University of Colorado Denver
  Jonas Bjälesjö, University ot Inland Norway
The phenomenon of Business Clustering where businesses locate in a certain geographical area to achieve competitive advantages is displayed in many industries around the world including the sectors of manufacturing and technology. The creative industries also have shown a tendency to congregate in geographical areas to take part in the competitive advantages of their proximity to a hub business, which could be major record labels or prominent festivals. The hubs create opportunities for many facets of the music industry to locate their businesses in the same area to take advantage of the opportunities that the label or festival provides. The benefits gained by cluster membership are not only experienced by the members but also in the local community as a whole. These benefits gained by clustering are not a static phenomenon, however. Business clusters have been shown to have life cycles and they slowly evolve from one life cycle to the other over time until eventually, the cluster enters the decline stage where it loses the competitive advantages it previously embodied. This study discusses creative business clusters as they enter the decline stage by looking at the music clusters of Hultsfred, Sweden, and Nashville, Tennessee. Both display the characteristics of entering the decline stage of their life cycle. Specifically examined are the factors that contributed to each music city entering the final stage of its life cycle with the purpose of providing music business clusters with a view of what cluster elements to protect in order to keep the cluster’s core competencies and competitive advantages intact.

The Economic Impact of Music Zones on Local Businesses in the U.S.: A Venue Concentration, Tourism, Economic, and Business Index Approach
  Stan Renard, The University of Oklahoma
  Storm Gloor, University of Colorado Denver
This study investigates the impact of 108 music zones on 4,190 local businesses across the United States, using agglomeration theory to explain how the concentration of independent music venues creates a vibrant ecosystem that attracts tourists and locals, thereby boosting nearby businesses. Utilizing a concentration, tourism, economic, and business impact index approach, the study ranks the nation’s most significant live music zones by cities and analyzes their economic contributions. The methodology incorporates data from 1,423 independent music venues forming 108 music zones, each with at least five venues within walking distance, and builds on preexisting research by the authors. The findings highlight the symbiotic relationship between music venues and nearby businesses, revealing how live music hubs in cities such as Nashville, New Orleans, Oklahoma City, and Austin drive economic growth and community identity. This relationship is further supported by aggregated calculations based on the National Independent Venue Association Music Venue Economic Impact Calculator developed by Dr. Michael Seman. The results provide valuable insights for policymakers, tourism boards, and the music industry to support and promote these vibrant cultural centers.