Part 4
SWOT Analysis
STRENGTHS
Music Ecosystem
The regional music ecosystem supports a total of 14,035 jobs across East Tennessee, and generates $2.95 billion in total output and $1.69 billion in gross value added (GVA).
The regional music ecosystem has strong multiplier effects (1.94 total output multiplier, and 2.05 employment multiplier).5
Music Community
The region is home to a rich music scene, with a strong sense of collaboration across genres.
Music Education
UT Knoxville’s College of Music offers undergraduate, graduate and certificate programs for students and professional musicians.
Strong after-school education exists via different organizations and programs (Knoxville Symphony Orchestra, School of Rock, Joy of Music School etc.).
Professional Development
The "Fair Wage Stage" initiative encourages venues to fair pay standard.
Collaboration & Networking
The Knoxville Chapter of the Nashville Songwriters Association International hosts regular programs for music stakeholders to connect and learn.
Value Chain & Intermediation
Transversal services (e.g., music education, retail) demonstrate a high relative concentration, with LQs that closely match the overall ecosystem average (establishment LQ of 0.90 and employment LQ of 0.76).6
Live Music is the physical core of the ecosystem, accounting for 53% of all mapped physical assets.
This is heavily supported by grassroots venues (bars, cafes, restaurants) and is backed by strong audience demand, with nearly 80% of surveyed fans expressing a desire for more live music events.
Audience Development & Community Engagement
There is a high level of demand and engagement from audiences, and a strong alignment between creators and audiences around rock, country, and singer‑songwriter.
Music Branding & Tourism
Knox County has a strong historical branding as the "Birthplace of Country Music" and "Cradle of Country Music", and Visit Knoxville and the Arts & Culture Alliance manage several music tourism initiatives.
Events like the Big Ears Festival draw international audiences and drive significant economic impact.
-
This indicates that every $1 of direct output generates an additional $0.94 in the wider regional economy, and that each direct job supports just over one additional job through indirect and induced effects.
-
Location Quotients (LQs) are calculated by comparing the share of an industry within the regional economy to the same share at the national level.
An LQ of 1 indicates that the industry’s presence in East Tennessee is proportionate to its presence in the national economy, meaning the region is neither more nor less concentrated in that activity. An LQ below 1 reflects a lower concentration than the national average, which may suggest limited local specialization or fewer regional resources supporting that activity. An LQ above 1 signals a higher concentration than the national benchmark, pointing to areas where the region may hold a competitive advantage due to factors such as workforce skills, specific assets, or long-standing cultural or economic traditions.
WEAKNESSES
Professional Development
Creators face severe financial instability.69% of professional musicians and 91% of semi‑professionals cannot meet their basic financial needs through music alone.
Less than half of the musicians who responded to the survey register works. Licensing/IP and digital revenues are minimal.
Collaboration & Networking
Network building (national/international) was identified among the top needs for musicians.
Export & Music Circulation
There is a lack of national and international promotion of the local music scene.
Value Chain & Intermediation
Creation and production are identified as having the greatest structural frailty and offer the clearest opportunities for targeted investment and capacity development.
The industry is heavily skewed geographically. 41% of all mapped physical music infrastructure is concentrated solely in Knox County, leaving peripheral counties without the critical mass needed to sustain local musical economies.
There is a lack of businesses supporting the music sector, and existing managers/booking agents and record labels received the lowest ratings by musicians in terms of relevance, quality and availability, with over half of musicians reporting no engagement with them.
Peripheral counties often center around a few subcategories, which can lead to the development of narrow local identities and music‑related offerings, underscoring a need for regional coordination.
The overall ecosystem operates below national concentration levels, with an establishment LQ of 0.89 and an employment LQ of 0.73, indicating considerable space for growth.7
Creation activities have one of the lowest concentrations (employment LQ of 0.21), representing a limited presence of artists and composers.
Production shows similarly low specialization (employment LQ of 0.07), highlighting a very narrow local base of recording and production services.
While Distribution's establishment LQ exceeds 1.0, the employment LQ (0.58) and the employment LQs for Exhibition (0.51) and Transversal (0.76) are still below the national level of concentration.
Assets are heavily concentrated in Exhibition (53%) and Transversal (28%), while Production (8%) and Distribution (11%) functions, which typically support commercial growth, remain limited.
Financial Resources
There are no local economic development incentives dedicated solely to the music sector, and no music-dedicated budget line for Knox County.
Rural counties often struggle to access state grants (like ABC or RAFT grants) because they lack the necessary local funds to provide the required financial match.
Live Music Sector & Infrastructure
There is a lack of mid-sized venues (400-700 capacity) for developing artists and attracting touring artists.
The region lacks major performance infrastructure, with only 2 arenas, 12 dedicated live venues, and 23 performing arts centers identified, indicating a lack of high-capacity, purpose-built facilities for large audiences.
There is no dedicated physical music hub for co-working, rehearsal, and production.
Policy & Governance
There is no formal local structure for the music sector.
Some licensing and permitting processes currently do not effectively support the music sector (events guide, street performance program, sound ordinance, etc.).
Audience Development, Communication & Marketing
Survey respondents noted a lack of resources to support music promotion.
There is a need for music audience development strategies.
Music Branding & Tourism
The region lacks a unified music brand and music tourism strategy.
-
Ibid
OPPORTUNITIES
Communicating & Marketing
Visit Knoxville’s calendar is the main calendar for arts and culture events in Knox County, including music events.
Developing Regional Touring Circuits
Musicians and music businesses face a lack of support from local banks and accountants who do not understand the industry's business model, complicating access to loans and capital.
Securing corporate sponsorship and municipal investment is difficult because the music scene competes directly with UT athletics/football.
Audience Development & Community Engagement
The "Penny4Arts" and library "Explorer Passes" programs provide free or discounted access to cultural events that can include music programs.
THREATS
Real Estate & Cost of Living
Cost of living is among the top two most pressing challenges identified by musicians, directly affecting their ability to sustain a career in music.
Approximately 47% of music organizations that responded to the survey see real estate as a challenge.
Financial Support
Musicians and music businesses face a lack of support from local banks and accountants who do not understand the industry's business model, complicating access to loans and capital.
Securing corporate sponsorship and municipal investment is difficult because the music scene competes directly with UT athletics/football.
Transportation
While several transportation services are offered at night or for live entertainment, there is a lack of regular night transportation service.
Parking is a challenge affecting music audiences and venues.