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Distribution conventionality in the movie sector: an econometric analysis of cinema supply

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Author Info

  • Alan Collins

    (Department of Economics, University of Portsmouth, Portsmouth, UK)

  • Antonello E. Scorcu

    (Department of Economics, University of Bologna, Bologna, Italy)

  • Roberto Zanola

    (Department of Public Policy and Public Choice, University of Eastern Piedmont, Turin, Italy)

Abstract

This paper empirically analyzes the impact of several factors on a 'conventionality index (CI)' in the specific context of the cinema exhibition sector. To our knowledge, it is the first time that a standard CI has been constructed for this purpose. Econometric analysis of the determinants of variation in this index provides decision-makers with an empirical focus for analyzing distributional aspects of the movie exhibition market, with particular emphasis on product differentiation. Specifically, (i) do cinemas based in a city area have a different or 'specialized' focus in contrast to cinemas in small towns? or (ii) do multiplexes have a different or more specialized focus in comparison with cinemas? To this end, cross-sectional econometric models are estimated to help analyze these effects in three Italian regions for a sample of cinemas covering the 2006 season. Copyright © 2009 John Wiley & Sons, Ltd.

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File URL: http://hdl.handle.net/10.1002/mde.1469
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Bibliographic Info

Article provided by John Wiley & Sons, Ltd. in its journal Managerial and Decision Economics.

Volume (Year): 30 (2009)
Issue (Month): 8 ()
Pages: 517-527

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Handle: RePEc:wly:mgtdec:v:30:y:2009:i:8:p:517-527

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Web page: http://www3.interscience.wiley.com/cgi-bin/jhome/7976

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  1. Salinger, Michael A, 1995. "A Graphical Analysis of Bundling," The Journal of Business, University of Chicago Press, vol. 68(1), pages 85-98, January.
  2. Victor Ginsburgh & André De Palma & Yorgo Papageorgiou & Jacques-François Thisse, 1995. "The principle of minimum differentiation holds under sufficient heterogeneity," ULB Institutional Repository 2013/3317, ULB -- Universite Libre de Bruxelles.
  3. Dansby, Robert E & Conrad, Cecilia, 1984. "Commodity Bundling," American Economic Review, American Economic Association, vol. 74(2), pages 377-81, May.
  4. John O’Hagan & Adriana Neligan, 2005. "State Subsidies and Repertoire Conventionality in the Non-Profit English Theatre Sector: An Econometric Analysis," Journal of Cultural Economics, Springer, vol. 29(1), pages 35-57, February.
  5. Adams, William James & Yellen, Janet L, 1976. "Commodity Bundling and the Burden of Monopoly," The Quarterly Journal of Economics, MIT Press, vol. 90(3), pages 475-98, August.
  6. Adriana Neligan, 2006. "Public funding and repertoire conventionality in the German public theatre sector: an econometric analysis," Applied Economics, Taylor and Francis Journals, vol. 38(10), pages 1111-1121.
  7. Darlene C. Chisholm & Margaret S. McMillan & George Norman, 2005. "Product Differentiation and Film Programming Choice: Do First-Run Movie Theatres Show the Same Films?," Discussion Papers Series, Department of Economics, Tufts University 0523, Department of Economics, Tufts University.
  8. Chisholm, Darlene C. & Norman, George, 2004. "Heterogeneous preferences and location choice with multi-product firms," Regional Science and Urban Economics, Elsevier, vol. 34(3), pages 321-339, May.
  9. d'Aspremont, C & Gabszewicz, Jean Jaskold & Thisse, J-F, 1979. "On Hotelling's "Stability in Competition"," Econometrica, Econometric Society, vol. 47(5), pages 1145-50, September.
  10. J. Pierce, 2000. "Programmatic Risk-Taking by American Opera Companies," Journal of Cultural Economics, Springer, vol. 24(1), pages 45-63, February.
  11. Alan Collins & Chris Hand & Andrew Ryder, 2005. "The lure of the multiplex? The interplay of time, distance, and cinema attendance," Environment and Planning A, Pion Ltd, London, vol. 37(3), pages 483-501, March.
  12. A. Sisto & R. Zanola, 2010. "Cinema attendance in Europe," Applied Economics Letters, Taylor and Francis Journals, vol. 17(5), pages 515-517.
  13. Helmut Bester, 1998. "Quality Uncertainty Mitigates Product Differentiation," RAND Journal of Economics, The RAND Corporation, vol. 29(4), pages 828-844, Winter.
  14. Shaked, Avner & Sutton, John, 1982. "Relaxing Price Competition through Product Differentiation," Review of Economic Studies, Wiley Blackwell, vol. 49(1), pages 3-13, January.
  15. Kristien Werck & Mona Grinwis Plaat Stultjes & Bruno Heyndels, 2008. "Budgetary constraints and programmatic choices by Flemish subsidized theatres," Applied Economics, Taylor and Francis Journals, vol. 40(18), pages 2369-2379.
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Cited by:
  1. Darlene C. Chisolm & George Norman, 2011. "Spatial Competition and market Share: An Application to Motion Pictures," Discussion Papers Series, Department of Economics, Tufts University 0763, Department of Economics, Tufts University.
  2. Darlene C. Chisholm & Margaret S. McMillan & George Norman, 2005. "Product Differentiation and Film Programming Choice: Do First-Run Movie Theatres Show the Same Films?," Discussion Papers Series, Department of Economics, Tufts University 0523, Department of Economics, Tufts University.

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