>>166954 # >>166956 # sometimes they don't know what they're doing, RBW (Mamamoo) bought WM (Oh My Girl) and both labels are losing money, brand power, face
Sub Labels are a two way street of revenue. Any profits the smaller one gets are dug into by the parent but the smaller one gets insurance by being owned by the big.
>>166954 # not always, but many times they buy a smaller label for their staff, some have very high skilled people like Source Music (ex SM, made Gfriend popular) so they let them work somewhat independently