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Movie Marketing Strategy Formation with System Dynamics: Towards a multi-disciplinary adoption/diffusion theory of cinema-going

  • David C. Lane
  • Elke Husemann

Abstract

This paper proposes a formal theory for the causal mechanisms underlying viewing figures for cinema films. It draws upon a range of diffusion theories, introducing them by using specific illustrations from sociology, epidemiology and marketing. These theories are employed in the construction of a system dynamics model which is then used to explore the marketing of movies. In this model these mechanisms are used to represent interest-based word-of-mouth effects, advertising, experience-based word-of-mouth effects, positive network externalities and disengagement. The model generates a range of behaviour modes and these are described. They offer one possible explanation for why the product lifecycle of many movies is relatively short. By demonstrating the relevance of the various model mechanisms to this particular phenomenon the paper also re-emphasises the isomorphic nature of the constituent diffusion theories. Finally, the model also has potential both for further extension and for use in supporting policy making in the actual social system that was modelled.

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Copyright information

© Deutscher Universitäts-Verlag/GWV Fachverlage GmbH, Wiesbaden 2004

Authors and Affiliations

  • David C. Lane
    • 1
  • Elke Husemann
  1. 1.Interdisciplinary Institute of Management / Operational Research Department, London School of Economics and Political ScienceUniversity of LondonLondonBritain

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