The impact of supplier bargaining power on the advertising costs of movie sequels

详细信息    查看全文

• 作者：Judy Ma ; Dongling Huang ; M. V. Shyam Kumar…
• 关键词：Motion picture industry ; Brand extensions ; Advertising ; Transaction cost economics ; Asset specificity ; Bargaining power
• 刊名：Journal of Cultural Economics
• 出版年：2015
• 出版时间：February 2015
• 年：2015
• 卷：39
• 期：1
• 页码：43-64
• 全文大小：274 KB
• 参考文献：1. Aaker, D. A., & Keller, K. L. (1990). Consumer evaluations of brand extensions. / Journal of Marketing, / 54(1), 27-1. CrossRef
  2. Ainslie, A., Drèze, X., & Zufryden, F. (2005). Modeling movie life cycles and market share. / Marketing Science, / 24(3), 508-17. CrossRef
  3. Albert, S. (1998). Movie stars and the distribution of financially successful films in the motion picture industry. / Journal of Cultural Economics, / 22(4), 249-70. CrossRef
  4. Argyres, N. S., & Liebskind, J. P. (1999). Contractual commitments, bargaining power, and governance inseparability: Incorporating history into transaction cost theory. / Academy of Management Review, / 24(1), 49-3.
  5. Austin, B. A. (1989). / Immediate seating: A look at movie audiences. Belmont, CA: Wadsworth Publishing Company.
  6. Basuroy, S., & Chatterjee, S. (2008). Fast and frequent: Investigating box office revenues of motion picture sequels. / Journal of Business Research, / 61(7), 798-03. CrossRef
  7. Bottomley, P. A., & Holden, S. J. S. (2001). Do we really know how consumers evaluate brand extensions? Empirical generalizations based on secondary analysis of eight studies. / Journal of Marketing Research, / 38(4), 494-00. CrossRef
  8. Boush, D. M., & Loken, B. (1991). A process-tracing study of brand extension evaluation. / Journal of Marketing Research, / 28(1), 16-8. CrossRef
  9. Broniarczyk, S. M., & Alba, J. W. (1994). The importance of the brand in brand extension. / Journal of Marketing Research, / 31(2), 214-28. CrossRef
  10. Calantone, R., & Cooper, R. G. (1981). New product scenarios: Prospects for success. / Journal of Marketing, / 45(2),?48-0.
  11. Caves, R. E. (2001). / Creative industries: Contracts between art and commerce. Cambridge, MA: Harvard University Press.
  12. Chen, Y., Liu, Y., & Zhang, J. (2012). When do third-party product reviews affect firm value and what can firms do? The case of media critics and professional movie reviews. / Journal of Marketing, / 76(2), 116-34. CrossRef
  13. Chisholm, D. C. (1996). Continuous degrees of residual claimancy: Some contractual evidence. / Applied Economics Letters, / 3(11), 739-41. CrossRef
  14. Coase, R. H. (1937). The nature of the firm. / Economica, / 4(16), 386-05. CrossRef
  15. Cooper, R.G. (1979). The dimensions of industrial new product success and failure. / The Journal of Marketing, 93-03.
  16. Daly, S. (2007, June 20). Mr. Wizard. / Entertainment weekly, from http://www.ew.com/ew/article/0,,20431232_20045416,00.html.
  17. David, R. J., & Han, S. K. (2004). A systematic assessment of the empirical support for transaction cost economics. / Strategic Management Journal, / 25(1), 39-8. CrossRef
  18. De Silva, I. (1998). Consumer selection of motion pictures. In B. R. Litman (Ed.), / The motion picture mega-industry (pp. 144-71). Needham Heights, MA: Allyn Bacon.
  19. De Vany, A., & Walls, W. D. (1999). Uncertainty in the movie industry: Does star power reduce the terror of the box office? / Journal of Cultural Economics, / 23(4), 285-18. CrossRef
  20. Desai, M. A., Loeb, G. J., & Veblen, M. F. (2002). The strategy and sources of motion picture finance. / Harvard Business School Note, (9- / 2) 3-007. Cambridge, MA: Harvard Business School.
  21. Donahue, S. M. (1987). / American film distribution: The changing marketplace. Ann Arbor: University of Michigan Research Press.
  22. Einav, L. (2007). Seas
• 刊物类别：Business and Economics
• 刊物主题：Economics
  Microeconomics
  Public Finance and Economics
  Economic Policy
  
• 出版者：Springer Netherlands
• ISSN：1573-6997

文摘

Movie sequels, a type of brand extension, are prevalent in today’s motion picture industry. Prior literature on brand extensions supports the intuition that attaching established brand names (e.g., titles of box-office hits) to new products decreases advertising costs. We counter this intuition and examine factors that may increase advertising costs for movie sequels. Specifically, we investigate the consequences of asset specificity and bargaining power—concepts from transaction cost economics—in the context of the motion picture industry. We find a positive relationship between the bargaining power of the movie studio’s suppliers and advertising expenditures for the movie sequel. We also find evidence of a moderating effect: higher bargaining power of the movie studio dampens the impact of supplier bargaining power on advertising. This is the first study to measure the effect of supplier bargaining power on movie studios-marketing decisions. In a broader context, our findings not only challenge the notion that brand extensions are cost saving, but are also novel in linking transaction cost constructs to the advertising behavior of firms.