Thursday, April 24, 2014

The Economy - Movie Business

It looks like the movie business is having a good year. So far "Hollywood" has earned over $3 billion at the box office, which is $200 million more at this point than last year. Though the movie industry can be unpredictable, it looks like Americans (and the rest of the world) is still going to the movies. I have not been to a movie in a while. I just have not thought anything was worth $10 or more to go see. Plus, all I have to do is wait a while and I can rent the movie on Apple TV for less than $5. I wonder what would happen if "Hollywood" lowered ticket prices? Actually, I already know the answer. We have a "budget" digital movie theater here in town that charges less than $4 to see a movie. Though the movies are not new (they play movies that have already been in theaters for a few weeks), the theater is always busy and frequently full. In fact, I think more people go to the "budget" theater than the two "premier" theaters we have in town. So if "Hollywood" lowered ticket prices, more people would go to the movies and they would eventually make more money. Unfortunately, lowering ticket prices would take courage, which most CEO's don't have.

What do you think?