Modeling the main determinants of movie sales : an econometric study of chinese marketplace
This paper investigates the financial performance of movies in China, a fast-growing commercial exhibition marketplace. Movie sales and Chinese market returns, movie characteristics and cultural contexts are operationalized in ordinary least squares (OLS) regression and quantile regression models to...
| Main Authors: | , |
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| Other Authors: | |
| Format: | Journal Article |
| Language: | English |
| Published: |
2019
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| Online Access: | https://hdl.handle.net/10356/106961 http://hdl.handle.net/10220/49009 http://dx.doi.org/10.6000/1929-7092.2016.05.17 |
| _version_ | 1811688425791684608 |
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| author | Feng, Fan Sharma, Ravi |
| author2 | Wee Kim Wee School of Communication and Information |
| author_facet | Wee Kim Wee School of Communication and Information Feng, Fan Sharma, Ravi |
| author_sort | Feng, Fan |
| collection | NTU |
| description | This paper investigates the financial performance of movies in China, a fast-growing commercial exhibition marketplace. Movie sales and Chinese market returns, movie characteristics and cultural contexts are operationalized in ordinary least squares (OLS) regression and quantile regression models to explain the highly varied acceptance across different products released since 2009. The samples comprise most of the widely released motion pictures in China. We posit that production budgets, sequels, audience ratings, cultural contexts and movie genres can significantly account for the variation in box office (BO) revenue and sales-revenue-to-cost (SRTC) within the Chinese market. Movies produced in countries with similar cultural contexts capture more audiences measured by box office proceeds, but it is noteworthy that SRTC falls at a decreasing rate as cultural differences increase. An increase in production budget generates more sales in China, but reduces the SRTC ratios with other factors controlled. Although aggregate cinema attendance may fluctuate with releasing date, this is not always true for an individual movie’s financial success. Quantile regressions provide us with a richer characterization of the relationship, enabling us to analyze the entire distribution of box office proceeds and SRTC ratios, as well as their determinants at key quantiles. |
| first_indexed | 2024-10-01T05:32:00Z |
| format | Journal Article |
| id | ntu-10356/106961 |
| institution | Nanyang Technological University |
| language | English |
| last_indexed | 2024-10-01T05:32:00Z |
| publishDate | 2019 |
| record_format | dspace |
| spelling | ntu-10356/1069612019-12-06T22:22:00Z Modeling the main determinants of movie sales : an econometric study of chinese marketplace Feng, Fan Sharma, Ravi Wee Kim Wee School of Communication and Information DRNTU::Social sciences::Communication Box Office Revenue Market Sales Return This paper investigates the financial performance of movies in China, a fast-growing commercial exhibition marketplace. Movie sales and Chinese market returns, movie characteristics and cultural contexts are operationalized in ordinary least squares (OLS) regression and quantile regression models to explain the highly varied acceptance across different products released since 2009. The samples comprise most of the widely released motion pictures in China. We posit that production budgets, sequels, audience ratings, cultural contexts and movie genres can significantly account for the variation in box office (BO) revenue and sales-revenue-to-cost (SRTC) within the Chinese market. Movies produced in countries with similar cultural contexts capture more audiences measured by box office proceeds, but it is noteworthy that SRTC falls at a decreasing rate as cultural differences increase. An increase in production budget generates more sales in China, but reduces the SRTC ratios with other factors controlled. Although aggregate cinema attendance may fluctuate with releasing date, this is not always true for an individual movie’s financial success. Quantile regressions provide us with a richer characterization of the relationship, enabling us to analyze the entire distribution of box office proceeds and SRTC ratios, as well as their determinants at key quantiles. Published version 2019-06-28T04:44:35Z 2019-12-06T22:22:00Z 2019-06-28T04:44:35Z 2019-12-06T22:22:00Z 2016 Journal Article Feng, F., & Sharma, R. (2016). Modeling the Main Determinants of Movie Sales: An Econometric Study of Chinese Marketplace. Journal of Reviews on Global Economics, 5, 190-209. doi:10.6000/1929-7092.2016.05.17 https://hdl.handle.net/10356/106961 http://hdl.handle.net/10220/49009 http://dx.doi.org/10.6000/1929-7092.2016.05.17 en Journal of Reviews on Global Economics © 2016 Feng and Sharma; Licensee Lifescience Global. This is an open access article licensed under the terms of the Creative Commons Attribution Non-Commercial License (http://creativecommons.org/licenses/by-nc/3.0/) which permits unrestricted, non-commercial use, distribution and reproduction in any medium, provided the work is properly cited. 20 p. application/pdf |
| spellingShingle | DRNTU::Social sciences::Communication Box Office Revenue Market Sales Return Feng, Fan Sharma, Ravi Modeling the main determinants of movie sales : an econometric study of chinese marketplace |
| title | Modeling the main determinants of movie sales : an econometric study of chinese marketplace |
| title_full | Modeling the main determinants of movie sales : an econometric study of chinese marketplace |
| title_fullStr | Modeling the main determinants of movie sales : an econometric study of chinese marketplace |
| title_full_unstemmed | Modeling the main determinants of movie sales : an econometric study of chinese marketplace |
| title_short | Modeling the main determinants of movie sales : an econometric study of chinese marketplace |
| title_sort | modeling the main determinants of movie sales an econometric study of chinese marketplace |
| topic | DRNTU::Social sciences::Communication Box Office Revenue Market Sales Return |
| url | https://hdl.handle.net/10356/106961 http://hdl.handle.net/10220/49009 http://dx.doi.org/10.6000/1929-7092.2016.05.17 |
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