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Walt Disney's Avengers: Age Of Ultron

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Behind the scenes of the new blockbuster “Avengers: Age of Ultron,” a fight has been brewing between Walt Disney Co. and movie-theater operators. The head of the trade group representing the theaters told Walt Disney Studios he had received “an avalanche of complaints, concerns and fears” from members after the movie studio imposed new conditions on theaters that wanted to show the “Avengers” sequel, according to a copy of the letter reviewed by The Wall Street Journal. Among the changes: when cinemas can offer matinee discounts or alternate showings of “Avengers” with other movies on the same screen; and new payment rules that the National Association of Theatre Owners said could over the long term raise prices for everyone. Following the outcry from theaters, the studio is altering its approach on some issues, including …show more content…

Organizations often try to avoid negotiation altogether by presenting their “wants” as decided facts in the form of “licensing agreements” and other forms of draft agreements. Though presenting a contract as a fait accompli can have a powerful psychological influence on a counterpart, it can also inspire rebellion if you push them too far. Note potential risks. The warning from the theater owners’ trade group that rising movie ticket prices could ultimately violate antitrust laws might have been a wake-up call for Disney. Though empty threats are never a good idea, it is wise to alert the other party about potential legal repercussions of their proposals. Find strength in numbers. The theater owners were wise to allow their trade group to speak for them in one voice. When faced with a powerful counterpart, competitors can often gain power—and even improve their own BATNA—by teaming

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