Accounting – Write up

Hello,

I hope you’re well. Please see attached prompt and relevant project for additional info.

Thank you,

Company: Ticket Master
Evaluate a public company’s ESG report and determine whether the strategy outlined in the
report, news articles highlighting the company’s ESG investment decisions and projects, or other
press releases noting ESG performance align with the company’s material ESG topics.
Your Report Should:
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Material Topics, and any changes in material topics over the past 3 year.
Key Performance Metrics, and how the performance metrics are measured
Progress towards performance metrics and the time given to achieve targets
Particular Areas of strengths (weaknesses) across the three ESG pillars? (You may
use a combination of source information such as: a) self-reporting, Bloomberg or
similar rating system such as Sustainalytics, MSCI, or ISS Corporate Rating). You
can use performance improvements over time and/or to a specific competitor or a
peer group to benchmark performance.
Actions that are consistent/inconsistent with material elements (source material
can come from press releases, popular press, or other sources). You must cite your
sources (any common format is fine). These actions could include, but are not
limited to, changes in supply chain, hiring practices, BOD turnover, new
requirements for capital projects.
Your report should compare your company to one of its competitors.
Your company and its competitor should be publicly traded.
Citations and links to the report must be included. Any major format for citations
is acceptable.
Note:
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You may not have access to all of the databases
Yahoo Finance uses Sustainalytics to provide benchmarks. If you are unable to use
Bloomberg or similar database, you can identify peers through Yahoo and then
perform a deeper dive to a single benchmark firm.
Final Project
Company
Background
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Controls 70% of ticket and
venue market
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$16.7B revenue (2022)
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6,678 employees
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Average salary $36,195
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In 1976, Ticketmaster was founded in Phoenix , Arizona by
college staffers Albert Leffler and Peter Gadwa as well as
businessman Gordon Gunn III.
Ticketmaster is a worldwide platform for ticketing that
enables the purchase and distribution of tickets for a wide
range of events, such as concerts, sports events, theater
shows, and more.
Ticketmaster offers a range of solutions for event
organizers ex: ticketing technology, marketing support,
analytics, and customer relationship management tools.
In 2010 the company merged with Live Nation, and it
emerged as a dominant force in the ticketing industry, being
recognized as one of the largest and most influential
companies in the field.
Over the years it faced some criticism for various business
practices including monopolistic behavior, fraud and
violating antitrust laws
https://www.zippia.com/ticketmaster-careers-41797/revenue/
https://www.cnbc.com/2023/01/25/the-live-nation-and-ticketmaster-monopoly-of-live-entertainment.html
Competitors
Initial Ticket Sales
● Eventbrite
● AXS
● Brown Paper Tickets
● Seat Geek
Resale Sites
● StubHub
● Vividseats
● TickPick
● Dice
HIGH
Stakeholders
US Lawmakers
Record
Companies
Keep Satisfied
Local
Communities
Concert
Goers
Employees
Sponsors
Keep Informed
Monitor
LOW
Musicians
or Acts
Manage Closely
Marketing/
Advertising
LOW
POWER
The Justice
Department
Promoters
Interest
HIGH
Environmental Challenges
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Ticketmaster’s operations generate a significant amount of greenhouse gas emissions and waste
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Ticketmaster’s operations are complex and global. This makes it difficult to track and manage the environmental
impact of operations.
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Ticketmaster does not share or highlight any workplace sustainability initiatives or efforts.
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Ticketmaster mainly works with one host, LiveNation which limits its collaboration with sustainable suppliers.
Ticketmaster. (2022, September 20). Fans want more sustainable festivals, major study from Ticketmaster finds. Retrieved from
https://business.ticketmaster.com/business-solutions/178391-fans-want-more-sustainable-festivals-major-study-from-ticketmaster-finds/
Environmental Recommendations
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Ticketmaster can continue to invest in more renewable energy
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Ticketmaster can develop new initiatives to reduce waste and promote sustainable transportation ex: discounts
with carpooling – recycling and events to clean environment .
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Ticketmaster can partner with other companies in the entertainment industry that puts environment first.
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Ticketmaster’s sustainable efforts might help retaining its reputation after public retaliation .
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Engaging and educating customers about environmental issues in every event.
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Setting sustainability goals, measuring environmental impact and reporting on progress.
Live Nation. (2023, March 8). Sustainability charter. Retrieved from https://www.livenation.co.uk/sustainabilitycharter
Lovins, Amory, L. Hunter Lovins, and Paul Hawken (2007), “A Road Map for Natural Capitalism,” Harvard Business Review
Ticketmaster. (2023, March 8). Sustainability at festivals. Retrieved from https://discover.ticketmaster.co.uk/festivals/sustainability-44889/
Social Overview
Strengths
Strong brand recognition
Rates high with employees for
diversity and inclusion
www.comparably.com/companies/ticketmaster/diversity
https://business.ticketmaster.co.uk/business-solutions/achieving-diversity-techn
ology-industry/
Opportunities
Has ticketing power and venue space to do
good for the community
Opportunity to partner with nonprofit
organizations
Power to partner with women owned or
minority owned suppliers to elevate small
businesses
Societal Challenges
Weaknesses
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No transparency with ticketing
fees
Artists angry about their
monopoly
Competitors angry that they are
unable to play in the ticketing
space fairly
Lawsuit Filed for Refund in Vegas Shooting
ESG Spotlight: Live Nation’s ESG Issues Culminate with Astroworld
Threats
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Fans are protesting Ticketmaster.
Scalpers raising ticket prices
Artists are renouncing Ticketmaster – going
to competitors
www.foxbusiness.com/entertainment/taylor-swift-ticketmaster-crisis-sparks-senate-judiciaryhearing-live-nation-seatgeek-called-witnesses.
Societal Recommendations
1.
2.
Community
a.
Use ticketing power and venue space to do good for the community
b.
Partner with nonprofit organizations like Girls Rock, VH1 Save the Music to spread music
education.
c.
Partner with women owned or minority owned suppliers to elevate small businesses and
encourage diversity.
Employees
a.
Help foster diversity in the workplace by encouraging networking groups for underrepresented
communities.
b.
Create a corporate purpose and empower employees to veto initiatives that they deem unethical.
Governance Challenges and Recommendations
Challenges
Recommendations
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Monopoly Behavior
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By dominating multiple sectors of the
Diversify Collaborations
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ticketing and entertainment industries.
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Deceptive Pricing Practices
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provide alternative options to consumers.
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By tacking on exorbitant fees at the end
Promote Transparent Pricing
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of transactions.
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Poor Cyber Security
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Through multiple significant data
breaches in a matter of years.
To allow other companies to enter the industry and
To enable consumers to accurately assess costs
associated with a transaction.
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Invest in Cyber Security
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To safeguard consumers information against hackers
and regain consumer trust.
Profitability Strengths and Weaknesses
Key Strengths in Profitability
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Ticketmaster retains a strong customer base despite
Key Weaknesses in Profitability
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significant competition.
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Ticketmaster reaps the benefits of long-term
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partnerships which includes the right to primary ticket
sales of certain events.
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Ticketmasters recent partnership with Tiktok .
Customers will be able to purchase Ticketmaster
tickets through the Tiktok app.
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Excessive fees and various costs associated with
ticket purchases are causing customers to consider
alternate vendors
Many of Ticketmaster employees are seasonal and
part-time creating a strong dependency on the labor
market
Ticketmaster is a vulnerable business in times of
global distress such as Covid-19.
Key Recommendations
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Mitigate Risk of Governmental Regulations and Expensive Reorgs
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To allow other companies to enter the industry and provide alternative options to consumers and reduce environmental
impact, partnering with women owned or minority owned vendors.
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Promote Transparent Pricing to enable consumers to accurately assess costs associated with a transaction.
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Invest in cyber security to safeguard consumers information against hackers and regain consumer trust.
Environmental Initiatives
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Ticketmaster and develop and implement environmental preservation initiatives by offering specialty discounts on public
transportation and carpooling. This would ultimately reduce the demand for space, promote sustainability efforts, and reduce
venue costs.
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Due to the excessive usage of electricity during Ticketmaster events, the introduction of renewable energy sources would
prove beneficial in terms of long-term profitability.
Key Recommendations Continued
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Attract Top Talent
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By introducing diversity initiatives in the workplace and networking events for underrepresented communities, Ticketmaster
can increase employee retention and prevent labor shortages from disrupting operations.
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To further employee retention a firm mission statement should be established which is employee and customer centric.
Employees should be empowered to veto any actions they deem unethical. This would prevent possible litigation costs.
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Developing Goodwill
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Ticketmaster should consider increasing collaborations with nonprofit entities to gain goodwill and increase Ticketmaster’s
overall value.
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By implementing sustainability efforts before they are governmentally mandated to do so, Ticketmaster will benefit in terms
of public reputation.
References
“Ticketmaster – Diversity & Inclusion.” Comparably, www.comparably.com/companies/ticketmaster/diversity.
“Achieving Diversity in the Technology Industry.” Ticketmaster Business Solutions. Ticketmaster
https://business.ticketmaster.co.uk/business-solutions/achieving-diversity-technology-industry/
“ESG Spotlight: Live Nation’s ESG Issues Culminate with Astroworld.” Amenity Analytics, 28 November 2021,
www.amenityanalytics.com/blog-articles/esg-spotlight-live-nations-esg-issues-culminate-with-astroworld.
NPR: National Public Radio. NPR, 24 Jan. 2023, www.npr.org/2023/01/24/1150942804/taylor-swift-ticketmaster-senate-hearing-live-nation.
“Taylor Swift, Ticketmaster Crisis Sparks Senate Judiciary Hearing; Live Nation, SeatGeek Called Witnesses.” Fox Business, Fox News Network, 30 May 2023,
www.foxbusiness.com/entertainment/taylor-swift-ticketmaster-crisis-sparks-senate-judiciary-hearing-live-nation-seatgeek-called-witnesses.
Live Nation Entertainment. (n.d.). https://investors.livenationentertainment.com/corporate-governance/board-of-directors
Live Nation Entertainment, Inc.. executive salaries & other compensation. Salary.com. (n.d.). https://www1.salary.com/LIVE-NATION-ENTERTAINMENT-Executive-Salaries.html
Ticketmaster reviews: What is it like to work at ticketmaster?. Glassdoor. (n.d.).
https://www.glassdoor.com/Reviews/Ticketmaster-Reviews-E8873.htm?filter.iso3Language=eng&filter.employmentStatus=PART_TIME&filter.searchCategory=COMPENSATION
THE TICKETMASTER/LIVE NATION MERGER: WHAT DOES IT MEAN FOR CONSUMERS & AND THE FUTURE OF THE CONCERT BUSINESS?. Govinfo.gov. (n.d.).
https://www.govinfo.gov/content/pkg/CHRG-111shrg54048/html/CHRG-111shrg54048.htm
Kamb, L., & Ali, S. S. (n.d.). Ticketmaster’s “kafkaesque” arbitration process is rigged, lawyers say Lewis Kamb. NBCNews.com.
https://www.nbcnews.com/news/us-news/ticketmaster-live-nation-arbitration-process-rigged-lawyers-say-rcna78172
Geoff Herbert. (2022, July 1). New York bans hidden fees for concert tickets, boosts fines for Scalper Bots. Syracuse.
https://www.syracuse.com/state/2022/07/new-york-bans-hidden-fees-for-concert-tickets-boosts-fines-for-scalper-bots.html
References (cont)
Wilkinson, L. (2023, January 25). Live nation’s IT capabilities scrutinized as company blames bots. CIO Dive.
https://www.ciodive.com/news/Live-Nation-Ticketmaster-Taylor-Swift-Senate-Judiciary-Committee/641227/
Schwartz, M. J., & Ross, R. (n.d.). Ticketmaster fined $1.7 million for data security failures. Bank Information Security.
https://www.bankinfosecurity.com/ticketmaster-fined-17-million-for-data-security-failures-a-15369
Zippia. “Ticketmaster Revenue.” Zippia, n.d., https://www.zippia.com/ticketmaster-careers-41797/revenue/.
CNBC. “The Live Nation and Ticketmaster Monopoly of Live Entertainment.” CNBC, 25 Jan. 2023,
https://www.cnbc.com/2023/01/25/the-live-nation-and-ticketmaster-monopoly-of-live-entertainment.html.