Music Promotion Risk Assessment & Management 3

Question 1

A promoter's outdoor venue has no rain contingency plan. Heavy rain is forecast for the event day. Which action represents best risk practice?

Accepted Answer

Activate a pre-arranged indoor backup venue or covered stage

Answer

A pre-arranged indoor or covered backup venue minimizes revenue loss and attendee disappointment caused by weather.

Question 2

When vetting a new streaming platform partnership for exclusive releases, which risk factor should a promoter prioritize?

Accepted Answer

Platform solvency and contractual exit terms

Answer

Platform solvency and clear exit terms protect the artist if the platform shuts down or fails to meet obligations.

Question 3

An artist managed by a promoter is sued for sample clearance infringement. The risk that should have been mitigated beforehand is:

Accepted Answer

Failure to secure licensing for all sampled material

Answer

Clearing all samples before release is a legal due-diligence step that prevents costly infringement litigation.

Question 4

What is the purpose of a production rider review in risk management for live events?

Accepted Answer

To identify technical requirements that could create logistical or safety conflicts

Answer

Reviewing the production rider early exposes technical, staffing, or safety demands that could be impossible or costly to meet.

Question 5

A promoter relies on a single ticketing platform that experiences a server outage on sale day. This is an example of:

Accepted Answer

Single-point-of-failure operational risk

Answer

Depending on one vendor with no backup creates a single point of failure where one outage can halt all ticket sales.

Music Promotion Practice Test