Take a look at all of your favorite "artists". How many of them are struggling? You want to know why they aren't struggling? It's because they see very little of the revenue from record sales. Most "artists" make the vast majority of their money from touring, personal appearances, endorsements and merchandise sales.
CD prices remain ridiculous a decade after peer 2 peer networks became popular. Why do the record companies refuse to adapt?
DVD prices remain ridiculous in spite of downloads and the introduction of Blu Ray. Why do you think that is?