Yes, it is true. I am an advocate for Korean pop music. In particular, I am a fan of band TVXQ!, who was one of the starter groups who initiated the Hallyu, or Korean wave.

In a world that is used to downloading music instead of purchasing physical albums, their success is phenomenal. Their album is coming out today as I am writing this blog, and it amazes me how much people have already pre-ordered the album, including myself of course.

So what’s the trick? What’s TVXQ’s immediate environment as a product?

In TVXQ’s immediate environment, the most important aspect is probably its consumers: taking statistics from TVXQ’s comeback teaser video, one can tell that the general audience is females of all ages (go figures!). From discussion and experience, it is found that fans often buy as many versions as is offered and have inelastic demand. Their benefits upon receiving the album are satisfaction of ownership and of helping TVXQ win year-end sales-based awards.

The company of TVXQ, SM Entertainment, is the Alpha entertainment company dominating the KPOP industry with many celebrated artists. Its image and reputation for being the most successful is often reflected in its big-budget projects. This image is very important as fans often pursue ‘brand name’ record labels to ensure the highest of quality of music.

The third aspect which shapes TVXQ’s immediate environment is its competition. Its direct competitors are other Kpop artists who offer the same product (kpop music); however, because TVXQ’s style is often distinguishable, they still hold a large market share. Its indirect competitors are musicians of any style. Its marketplace competition is food, shelter, and other necessities that prevent people from spending money on entertainment.

After analyzing TVXQ’s environment, SM Entertainment made successful marketing strategies that boosted its sales and created an irreplaceable image. Watch out for my next blog post on it!