Distribution conventionality in the movie sector: an econometric analysis of cinema supply
Article first published online: 20 APR 2009
Copyright © 2009 John Wiley & Sons, Ltd.
Managerial and Decision Economics
Volume 30, Issue 8, pages 517–527, December 2009
How to Cite
Collins, A., Scorcu, A. E. and Zanola, R. (2009), Distribution conventionality in the movie sector: an econometric analysis of cinema supply. Manage. Decis. Econ., 30: 517–527. doi: 10.1002/mde.1469
- Issue published online: 22 OCT 2009
- Article first published online: 20 APR 2009
This paper empirically analyzes the impact of several factors on a ‘conventionality index (CI)’ in the specific context of the cinema exhibition sector. To our knowledge, it is the first time that a standard CI has been constructed for this purpose. Econometric analysis of the determinants of variation in this index provides decision-makers with an empirical focus for analyzing distributional aspects of the movie exhibition market, with particular emphasis on product differentiation. Specifically, (i) do cinemas based in a city area have a different or ‘specialized’ focus in contrast to cinemas in small towns? or (ii) do multiplexes have a different or more specialized focus in comparison with cinemas? To this end, cross-sectional econometric models are estimated to help analyze these effects in three Italian regions for a sample of cinemas covering the 2006 season. Copyright © 2009 John Wiley & Sons, Ltd.