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How do your rivals’ releasing dates affect your box office?

Author

Listed:
  • Fernanda Gutierrez-Navratil

    ()

  • Victor Fernandez-Blanco

    ()

  • Luis Orea

    ()

  • Juan Prieto-Rodriguez

    ()

Abstract

In this paper, we study to what extent a movie’s box-office receipts are affected by the temporal distribution of rival films. We propose a reduced-form empirical model to measure and test competition effects among films released close to each other in a standard regression framework. Such an analysis is appealing in terms of its policy implication and may provide guidance to distributors to decide on their releasing dates of their firms. We estimate this model using information on the films released in five countries: the USA, the United Kingdom, Germany, France and Spain. The geographical dimension of our data set permits us to control for unobserved heterogeneity among films released using panel data techniques, which allows us to evaluate the individual and specific effects of each film. Thus we deal with one of the most relevant features of the movie market, namely the presence of highly differentiated products. Copyright Springer Science+Business Media New York 2014

Suggested Citation

  • Fernanda Gutierrez-Navratil & Victor Fernandez-Blanco & Luis Orea & Juan Prieto-Rodriguez, 2014. "How do your rivals’ releasing dates affect your box office?," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 38(1), pages 71-84, February.
  • Handle: RePEc:kap:jculte:v:38:y:2014:i:1:p:71-84
    DOI: 10.1007/s10824-012-9188-0
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    File URL: http://hdl.handle.net/10.1007/s10824-012-9188-0
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    Cited by:

    1. Fernanda Gutierrez-Navratil & Victor Fernandez-Blanco & Luis Orea & Juan Prieto-Rodriguez, 2014. "How do your rivals’ releasing dates affect your box office?," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 38(1), pages 71-84, February.
    2. Darlene Chisholm & Víctor Fernández-Blanco & S. Abraham Ravid & W. David Walls, 2015. "Economics of motion pictures: the state of the art," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 39(1), pages 1-13, February.
    3. P. Belleflamme & D. Paolini, 2015. "Strategic Promotion and Release Decisions for Cultural Goods," Working Paper CRENoS 201508, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
    4. Juan Prieto-Rodriguez & Fernanda Gutierrez-Navratil & Victoria Ateca-Amestoy, 2015. "Theatre allocation as a distributor’s strategic variable over movie runs," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 39(1), pages 65-83, February.
    5. repec:hpe:journl:y:2017:v:221:i:2:p:9-31 is not listed on IDEAS
    6. Denis Y. Orlov & Evgeniy M. Ozhegov, 2016. "Do sequel movies really earn more than non-sequels? Evidence from the US box office," ACEI Working Paper Series AWP-03-2016, Association for Cultural Economics International, revised Apr 2016.
    7. Frederick Derrick & Nancy Williams & Charles Scott, 2014. "A two-stage proxy variable approach to estimating movie box office receipts," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 38(2), pages 173-189, May.

    More about this item

    Keywords

    Temporal competition; Movie exhibition; Film industry; Panel data; Unobserved heterogeneity; Differentiated products; Z10;

    JEL classification:

    • Z10 - Other Special Topics - - Cultural Economics - - - General

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