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Full-Text Articles in Economic Theory
The Impact Of Production Budgets On Theatrical Vs. Non-Theatrical Revenues In The Movie Industry, Naveen Shastri
The Impact Of Production Budgets On Theatrical Vs. Non-Theatrical Revenues In The Movie Industry, Naveen Shastri
CMC Senior Theses
This thesis discusses the impact of movie production budgets on various revenue ratios. An OLS regression equation was created that compares the production budget of a movie to one of three movie revenue ratios. These ratios can be attributed to the relative elasticities of each revenue metric (domestic DVD sales, domestic box office revenues, and foreign box office revenues). Among other results, it seems that the elasticity for domestic DVD sales was relatively greater than the one representing domestic box office revenues. Also, foreign box office elasticities were relatively larger than either domestic revenue variable. These results imply different trends …