Final answer:
The record company may have gone out of business due to customers preferring illegal downloads, the lack of digital copies, poor marketing strategies, and high prices for digital copies.
Step-by-step explanation:
The record company most likely went out of business due to a combination of factors. One reason could be that customers preferred to download music illegally from the internet, instead of purchasing it legally. This would have resulted in a loss of revenue for the record company.
Another reason could be that the record company did not offer digital copies of its music. In today's digital age, many customers prefer the convenience of streaming or downloading music online, rather than purchasing physical copies.
Poor marketing strategies and high prices for digital copies could also have contributed to the record company's downfall. If the company was unable to effectively promote its music or if its prices were not competitive, customers may have been less inclined to purchase from them.