How do your rivals' releasing dates affect your box office?
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 theoretical model that analyses the effects of past, present and future releases on a film's results. Using this model we can analyse how rivals' release dates impact on others' box office revenues. This theoretical model also allows us to carry out some comparative statics by changing some relevant parameters such as time depreciation, film quality or the timeline of exhibition. We have tested the empirical implications of this model using information on the films released in five countries: the USA, the United Kingdom, Germany, France and Spain. In order to maintain a degree of homogeneity, we have constructed an unbalanced panel consisting of films that were released in at least three of these countries. The geographical dimension of our data set allows us to use panel data techniques to control for unobserved heterogeneity among the films released. This allows us to control for one of the most relevant features of the movie market, namely the presence of highly differentiated products.
|Date of creation:||Nov 2011|
|Date of revision:||Nov 2011|
|Contact details of provider:|| Web page: http://www.culturaleconomics.org/|
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Charles C. Moul, 2007. "Measuring Word of Mouth's Impact on Theatrical Movie Admissions," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 16(4), pages 859-892, December.
- Darlene Chisholm & George Norman, 2012.
"Spatial competition and market share: an application to motion pictures,"
Journal of Cultural Economics,
Springer, vol. 36(3), pages 207-225, August.
- 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.
- Mitsuru Sunada, 2012. "Competition among movie theaters: an empirical investigation of the Toho–Subaru antitrust case," Journal of Cultural Economics, Springer, vol. 36(3), pages 179-206, August.
- Robert E. Krider & Tieshan Li & Yong Liu & Charles B. Weinberg, 2005. "The Lead-Lag Puzzle of Demand and Distribution: A Graphical Method Applied to Movies," Marketing Science, INFORMS, vol. 24(4), pages 635-645, April.
- Jordi McKenzie, 2010. "How do theatrical box office revenues affect DVD retail sales? Australian empirical evidence," Journal of Cultural Economics, Springer, vol. 34(3), pages 159-179, August.
- David Lang & David Switzer & Brandon Swartz, 2011. "DVD sales and the R-rating puzzle," Journal of Cultural Economics, Springer, vol. 35(4), pages 267-286, November.
- Victor Ginsburgh & Sheila Weyers, 1999.
"On the Perceived Quality of Movies,"
Journal of Cultural Economics,
Springer, vol. 23(4), pages 269-283, November.
- Liran Einav, 2007. "Seasonality in the U.S. motion picture industry," RAND Journal of Economics, RAND Corporation, vol. 38(1), pages 127-145, 03.
- Fernanda Gutierrez-Navratil & Victor Fernandez-Blanco & Luis Orea & Juan Prieto-Rodriguez, 2011.
"How do your rivals' releasing dates affect your box office?,"
ACEI Working Paper Series
AWP-04-2011, Association for Cultural Economics International, revised Nov 2011.
- 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, vol. 38(1), pages 71-84, February.
- Anita Elberse & Jehoshua Eliashberg, 2003. "Demand and Supply Dynamics for Sequentially Released Products in International Markets: The Case of Motion Pictures," Marketing Science, INFORMS, vol. 22(3), pages 329-354.
- Peter Davis, 2006. "Spatial competition in retail markets: movie theaters," RAND Journal of Economics, RAND Corporation, vol. 37(4), pages 964-982, December.
- repec:rje:randje:v:37:y:2006:i:4:p:964-982 is not listed on IDEAS
- Andrew Ainslie & Xavier Drèze & Fred Zufryden, 2005. "Modeling Movie Life Cycles and Market Share," Marketing Science, INFORMS, vol. 24(3), pages 508-517, November.
- Ravid, S Abraham, 1999. "Information, Blockbusters, and Stars: A Study of the Film Industry," The Journal of Business, University of Chicago Press, vol. 72(4), pages 463-92, October.
- Jordi McKenzie, 2012. "The Economics Of Movies: A Literature Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 26(1), pages 42-70, 02.
- Ramya Neelamegham & Pradeep Chintagunta, 1999. "A Bayesian Model to Forecast New Product Performance in Domestic and International Markets," Marketing Science, INFORMS, vol. 18(2), pages 115-136.
- Kenneth S. Corts, 2001. "The Strategic Effects of Vertical Market Structure: Common Agency and Divisionalization in the US Motion Picture Industry," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 10(4), pages 509-528, December.
- Orbach, Barak Y. & Einav, Liran, 2007. "Uniform prices for differentiated goods: The case of the movie-theater industry," International Review of Law and Economics, Elsevier, vol. 27(2), pages 129-153.
When requesting a correction, please mention this item's handle: RePEc:cue:wpaper:awp-04-2011. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Juan Prieto-Rodriguez)
If references are entirely missing, you can add them using this form.