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davidhoffman
Premium
join:2009-11-19
Warner Robins, GA
kudos:3
reply to axus

Re: Not as much leverage when you suddenly have competition

"...The only reason studios can raise their prices 10-fold is they don't have any competition..."

The studios make the movies and television shows. There are not going to be 2 manufacturers of the same movie. That would be like having the Susan Company competing against the Sam Company to make the exact same automobile and retail it through their own dealerships.

The studios compete against each other. Disney creates movies that come out at the same time as ones from Warner Brothers. You decide that cute cartoon characters(Disney) are more important than high tech assassination plots(Warner Brothers) on a particular Saturday night. You buy your ticket for the Disney film and Warner Brothers groans from loosing that revenue. On that day you had a choice from competitors.