Essay about Motion Picture Industry Case Problem 2

Given our analysis of the motion picture industry, we recommend that Arundel carefully select the major film studios from which they intend to purchase sequel rights. The net present value of hypothetical sequels taken from the available previous years shows not only that the industry is highly volatile, but also that certain production studios are more volatile than others in terms of their recent performance. In addition, some studios are consistently less profitable than others. (See "NPV for Each Production Company" chart in appendix) Since the success of film studios are relatively stable in the short term (see "Rental Shares of Major Film Distributors" table and graph) Because of this stability, it is possible for Arundel to approach more profitable studios with their offer to purchase sequel rights. Out of all the major film studios, only MCA-Universal, Warner Bros., and The Walt Disney Company generate a positive net present value on a per-film basis. However, according to casual inquiries, it is unlikely that any movie studio would enter negotiations with Arundel on a per film price that is less than 1 million. Instead, the film studios seem to

Analyze Blockbuster's current position (based on its brick-and-mortar business model) using Porter's 5-forces model. What are the conclusions of your analysis?

This paper was prepared for Introduction to Film History, Module 1 Homework Assignment, taught by Professor Stephanie Sandifer.

Seven models were created in order to obtain the model in which all-remaining variables are statistically significant and the final equation to predict sales is as follow:

This essay explores the popularity of Australian film, both locally and internationally and asks the question: Is there a crisis in the Australian Film Industry? This essay will go through the current issues the Australian Film Industry and will demonstrate examples of those problems.

4. Din, Yangon. (2007). Titled: The dynamics of the movie industry: Theatrical Exhibitions & DVD rentals. The University of Wisconsin.

The poor distribution of Australian films has made it difficult for the public to view these said films, due to the lack of theatres screening the actual pictures. This contributes to the community of the Australian public to collectively be unaware of these films and leads to the small number of tickets sold in cinemas. With this lack of money being spent on Australian films, the industry suffers due to with no return going into the

Concession sales and ticket sales are the two biggest sources of revenue for a movie theater but the exhibitors has limited control over both revenues and profits because those two are important aspects. Attendance allows for profitable sales of concessions and advertisements, but there are significant caps on the volume of concession sales per person, and selling price seem to have reached a maximum. Both continue to increase in cost to the consumers and may have reached a price point that is starting to drive consumers away from going to see a movie.

Generate a scatterplot for SALES vs. CALLS, including the graph of the "best fit" line.

4. The bargaining power of buyers: The outlook for the target market isn’t favorable for the movie industry because it will not be growing as fast as the overall population. Buyer power is a strong force because of the target market and several other factors including: the undifferentiated product offered, switching to an alternative is simple and low cost, and customers can stay home and watch movies. The consumers are also complaining about concession and ticket costs, along with the advertisements before the film is shown.

The film industry has continuously changed since its inception due to rapid technology advancements. Camera technology has been a key factor that has influenced the growth of filmmaking. The first motion picture in the world was produced in the early 1880s, and the first public screening occurred ten years later. It didn’t take long for the quality of films to improve as new filmmaking equipment emerged. Ever since the first movie was produced, the film industry has been continuously changing in response to emerging filmmaking technology. Introduction of digital photography and digital data storage along with the development of internet significantly influenced the film industry (Barsam, 2015). These technologies contributed

The modern film industry was born around the beginning of the twentieth century. On April 23rd 1896 Thomas Edition showed the first publicly-projected motion picture at Koster and Bial's Music Hall in New York City. From there the film industry had an explosive growth rate. In fact,

Hollywood movies employ creative and bold methods to market their movies. A good deal of promotion and advertising is targeted to getting people into theatres. Media blitzes are launched to tout the movies weeks before its release. Posters on buses, billboards, designed T-shirts, websites are used to promote Hollywood films. These films are then distributed to a diverse audience. Unless they are extremely unsuccessful, Hollywood movies are always first shown in cinemas across the world, before they are released on DVD. Nollywood films, on the other hand, do not put in a lot of money and effort on the marketing of their films. Other than the movie posters which are usually seen at the selling point of the films, not much advertising is employed. As all Nollywood films go straight to DVD and VCD discs, the industry thrives on direct-to-video marketing. As many as thirty new titles are delivered to Nigerian stores and market stalls every week. Producers rely on the fact that with this outpour of releases, their movies would most certainly be picked up among the crowd; hence, employing further marketing practices is unnecessary. Currently, the available cinemas in Nigeria do not exhibit any Nollywood movies.

Every so often a movie is released with such tense anticipation and glamorous visual art that the public is drawn to this dramatic rendition of life in the theatre. For even just two hours or so, you are put into a different lifestyle. Action, drama or comedy it may be. We are thrust into a different way of thinking. We are forced to learn the characters thoughts and feelings. The hard work and artistic skill that goes into these magnificent films is not an easy thing to mimic. Out of the thousands of movies released worldwide each year only a handful are truly worthy of the label film art. Most of the great movies are either produced by a multi million dollar

One of the most notable patterns of sales in regards to total sales volume is that it increases drastically when the average price of soup is low (Average price is calculated by dividing Category Volume by Category Dollars). Total sales volume had significantly increased when either Rocket Soup or competitors (or both) offer low price for promotion. In other words, soup consumption is relatively elastic to price, meaning that customers are highly sensitive to price. See below graphs showing the inverse relationship between the total volumes sold and average price of soups.