The Movie Exhibition Industry: 2011 Essay

1185 Words Jul 19th, 2013 5 Pages
MGMT-780-623 - Week 3 Assignment
The Movie Exhibition Industry: 2011

SWOT Analysis


Internal – new digital technology with 3D optional feature, buildings (whether rented or owned) are large (most are multi and megaplex style)
External – leverage in both the concession industry and the distribution industry Weaknesses

Internal – rely on concessions and advertisements, concession pricing, experience largely the same as every competitor
External – content, consumer income, marketing of movies relies on studio production companies, split sales with distributors


Internal – content choices, experience, concession options
External – growing middle class, rebound from recession Threats

Internal –
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What if the movie theater was a refreshing break from reality only minutes from home? Isn’t that what everyone is looking for anyway when they hit the theater? How about bigger seats or boxed group seating? What if cell phones had to be checked at the door? What if ushers actually hushed the loud people? What if the ads were split so that half played before the movie and half played at the end as the stragglers head out? What if some ads were played during a forced intermission (who can ever get through a movie without having to go to the restroom anyway)?

A third way for a company to create a competitive advantage in the movie exhibition business is to offer outstanding options for the customer through different uses of the space. Since theaters already have fantastic buildings in which they play movies today, why not re-examine how those buildings are utilized? The space is large and the viewing equipment is excellent (sound / video). Most movie theaters are of the multi and megaplex variety. Using 1 or 2 screening rooms for a banquet or a party or even to test something entirely new really wouldn’t break the bank. The rooms are going unused anyhow and it still costs money to keep the lights on. Maybe a small band could play or a local school could use the venue for a play if they are not fortunate enough to have a space in their own building? What about a comedy show? Everyone loves to laugh. Perhaps local businesses could hold training events

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