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"Raghu Jetley" <[EMAIL PROTECTED]> wrote in message news:[EMAIL PROTECTED] > V wrote: > > "Raghu Jetley" <[EMAIL PROTECTED]> wrote in message > > news:[EMAIL PROTECTED] > >> > >> Follow what - can't this be the case ? > >> > >> Assume cost of running a movie in a theatre - X > >> No of seats in a theatre - Y > >> Revenue from every Z > >> > >> If movie is released in 1 theatre & it's house full then > >> profit = (Y*Z) - X > >> > >> If released in 2 theatres & say it runs only 75% capacity in both. > >> then profit = (1.5*Y*Z) - 2X > >> > >> For arbitrary values, X = 25 Y = 100 Z = 1 > >> > > > > yes, but these values aren't exactly arbitrary. If you pick up X=1 > > and Y=100 the profit would be much higher. However, if you pick up > > X=75, and Y=100 Z=1, lets look at those numbers again. > > > > Profit1 = 100 - 75 = 25 > > Profit2 = 150 - 150 = 0. > > > > The movie with a lower per screen average ended up making no profit > > at all. Also, a movie with a higher per screen average provides you > > with a better percentage return on your investment. > > My point is that - your original point that > "Everyone who intends to make money from a movie, specifically the > distributor and the theatre owner. Consider the cost of running a movie in > single theatre and you would follow the rest." > is not true all the time. > I never said it was true at all times, did I? I totally agree with you. >IMHO, it may not be true even in the vast majority of the times. > Many a times Naz8 in the Bay Area has a movie running in 2 of their own > theatres > in the same complex - they aren't stupid to this. Why is this an anomaly to what I said? BTW, North bergen in jersey had KHNH running on all 8 screens, or so I heard.
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