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In a transaction of the style of musical performances, I think it’s inevitable that an entity like Ticketmaster would begin to exist. The issue is that we have a many to many to many relationship between fans, artists, and venues.

In database design when you have such a pattern it is common that you’ll have a new table to maintain the complex relationship. It doesn’t make sense for venues to sell tickets because each artist has their own tour through many venues. Selling tickets for a tour becomes a hassle as many venues would have to coordinate. To complicate things, opening acts often switch during the course of a tour. Conversely, it doesn’t make sense for artists to sell tickets because the process of coming up with the ticket price and negotiating with the venue and handling transactions and returns , etc. is not their core competency.

This is why promoters like Live Nation exist—to bridge this gap and take on the capital risk necessary to put on a large tour. They aren’t necessary but their value to venues and artists (the business owners) is palpable. For Taylor Swift to go on a world tour, an amount of centralized coordination makes it much easier and much less likely to end in financial ruin.



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