ABSTRACT Media play an important role in shaping people’s beliefs and ideas. More specifically, media have a great influence on what we think about foreign countries. The media influence the way a country’s citizens view the people and governments of other countries and shape our image of them. All types of articles about foreign countries are covered in the media. Investors looking to invest abroad

ABSTRACT In this study, we use hedonic and conjoint analyses to estimate the effects of a series of service attributes such as VIP (top luxury), IMAX, X4D (a 3D movie projection with synchronized physical effects), JUNIOR (an auditorium with a playground for kids), and 3D on admission prices at movie theaters. As far as we know, this is the first effort to measure consumers’ willingness to pay for

ABSTRACT Technology has disrupted the news media, and the limited intention to pay for content is still a challenge for the industry. News media outlets currently distribute single articles through online and profile logic platforms, such as social media sites, to consumers and marketers. Thus, journalists are becoming more visible, relevant and, consequently, valuable–for both consumers and firms

ABSTRACT One of the core challenges in the media industry is attracting audiences. To this end, publishers, such as TV broadcasters, spend significant resources on advertising their contents on TV and in digital channels. Among others, they are trying to leverage the growing use of additional screen-based devices (second screens) in conjunction with the television, the first screen. This paper empirically

ABSTRACT This study investigates the cross-country variation in the share of national movies in total box office revenue using annual observations from a sample of 43 countries. For this purpose, the preference for national movies is associated with the size of domestic movie production (proxied by absolute and relative number of national movies produced), availability of top-class movie directors

ABSTRACT Urbanization has led to the centralization of many important functions, including the media sector. In the case of Sweden, 53% of journalists now live in the capital region of Stockholm. The number of local editorial offices has shrunk from 668 to 273 in 28 years. What impact does this media centralization have? A recent report from the U.S. by the PEW Institute shows that rural communities

ABSTRACT A new type of superstars developed with the rise of social media markets: social media superstars (SMS). The economic literature on the superstar phenomenon provides empirical evidence on different types of stars, above all athletes and musicians. This paper presents the first empirical work on SMS with original data from YouTube. Using various econometric techniques, we analyze a unique sample

In a Democracy Now interview about her book, The Age of Surveillance Capitalism: The Fight for a Human Future at the New Frontier of Power (2019), Harvard Business School and Charles Edward Wilson ...

ABSTRACT This paper introduces the new Idea Forum at the Journal of Media Economics and provides an overview of the challenges in the movie industry caused by the market entry of subscription-based video on demand (SVOD) providers such as Netflix and Amazon (Prime). Specifically, we focus on the fundamental shift in traditional distributors’ value chains and business models that are threatened by the

ABSTRACT The film business is notoriously high risk. This paper investigates what types of films are successful by analyzing 1,539 films released between 2004 and 2009 in South Korea, whose consumption rate of domestic films is exceptionally high. Drawing from the literature on brand extension and country of origin, this paper demonstrates that sequels attract more box office audiences than non-sequels

ABSTRACT When a terrestrial radio station plays a song during its over-the-air broadcast, the artists and their record labels receive no compensation for the sound recording right. Yet radio’s digital competitors – including streaming services and satellite radio – do pay performance royalties to performers and their labels for the sound recording. Terrestrial radio’s cost-advantage is not the result

ABSTRACT This paper provides a content analysis of the published articles in the Journal of Media Economics during the period 1988–2017 and was sparked by the 30th anniversary of the journal. A total of 388 papers were content-analyzed to answer the questions of who wrote what, and how in the journal for the above-mentioned 30 years. Each article was classified based on the number of authors, author’s

ABSTRACT In the present study, we constructed a new research model to understand the feedback effects of brand extension by applying expectation disconfirmation theory to a real-world case of brand extension among South Korean newspapers. We found that the feedback effect was significant in brand extension efforts between the newspaper and broadcast industries. In addition, the relationships between

ABSTRACT The effectiveness of monetary policy and political legitimacy of central banks depend on monetary policymakers ability to communicate through the media. The literature on monetary policy communication remains disconnected from relevant research in communication and media studies. This article uses a new database of Federal Reserve communication events merged with a database of 310,565 news

ABSTRACT Major consolidation has occurred in the recorded music industry over the past 20 years, which has led some industry stakeholders to question the power and influence of the major remaining firms. I test whether there is evidence that subsidiaries of the large parent firms in this industry act as a cohesive unit or if they focus on maximizing their own profit without taking into consideration

ABSTRACT Managers predict the sales of new entertainment products prior to their release using comparables, such as similar books from the same author or movies with the same actors. In this study, the authors analyze whether diffusion models for media products provide helpful support in the management task of predicting prelaunch sales of the first distribution channel for three different product

ABSTRACT This study examines impacts of the complementary products on platform competition, in the context of video game consoles. Using 10-year panel data, the results demonstrate that high-quality software has a disproportionately significant effect on hardware demand. The high-quality exclusive software is an important factor affecting consumers’ utility, and it tends to be developed in hardware

Each article in this this issue provides new insight into demand for media goods. The first revisits network effects in two-sided markets by focusing on the quality and exclusivity of video games. The study finds gamers tend to play just a few widely popular games. Popular games therefore have an outsize influence on the success of video game consoles. The second article examines effects from the introduction

ABSTRACT Home entertainment markets have seen dramatic declines in revenues over the last 10 years due to the digital revolution, making new adaptation strategies of crucial importance to maintaining existing profitability. Recently, the film industry has worked with related firms to develop a standardized ecosystem for the sale and access to digital versions of their films. This system, known as UltraViolet

ABSTRACT Media pluralism is valued in most jurisdictions because it contributes to a well-informed citizenry. The authors examine what media policy and regulatory levers appear to affect five types of citizen knowledge across the European Union. They conclude that concentration of titles matters more than ownership in newsprint; and that neither type of concentration matters in broadcasting in the

ABSTRACT Using a unique dataset of the Netflix video on demand library, this article measures the characteristics of information goods important when employing a strategic bundling strategy. By matching the titles entering and exiting the library to their relevant properties, I use a characteristic approach to determine when the value to Netflix of adding a title exceeds the licensing fee and when

ABSTRACT Information asymmetry between corporate management and investors creates a context in which corporate reputation conveyed in the media may serve as a valid signal of firm quality to investors in times of corporate crisis. Results confirmed our hypothesis that corporate media reputation was positively correlated with postcrisis stock return. Furthermore, the positive effect of media reputation

ABSTRACT In this article, we build on Stigler and Becker’s (1977) “consumption capital theory” and propose a novel conceptualization of film quality for the analysis of motion picture franchises. Generally, this theory predicts that the utility consumers derive from a particular good or service increases with prior consumption. We test our theoretical conjectures by drawing on the population of sequels

ABSTRACT This study explored the factors affecting repeat theatrical viewing of movies. Integrating content, social influence, and access/competition variables, the analysis reveals that the drivers of theatrical repeat viewing are different from those for box office performance. For example, the effects of genre, transmedia content, and audience review were significant only for the latter and factors

ABSTRACT In recent years the loss of effectiveness of television advertising based on traditional spots has led to the development and consolidation of new forms of advertising. In this article, the authors analyze the recall effectiveness of three new television advertising formats (television billboards, internal telepromotions, and external telepromotions). We use a representative sample of Spanish

ABSTRACT Compared to previous research studying movie advertising focusing on traditional advertising, this study introduce location-based ads (LBA), an important new media advertising, to raise limited coverage of traditional movie advertising. This study explores the role of LBA in generating ticket sales dynamically and compares it with that of pop-up window ads (PWA). Using daily aggregate cinema

ABSTRACT The television market can be one of the most dynamic industries if country-specific regulations allow for private competitors to enter the market. The entry of competition changes the market from monopolistic to oligopolistic, which has positive performance implications for the industry. Our research analyzes the development of the Croatian TV market from the monopolistic stage to the current

Prof. Alfonso Sánchez-Tabernero of the Universidad de Navarra has been recognized with the Journal of Media Economics Award of Honor for his scholarly contributions to the field of media economics. Prof. Sánchez-Tabernero’s research is mainly focused on strategies of growth and diversification of media companies, and on the concept of media quality. His work has resulted in more than 50 journal articles

ABSTRACT In this article, we estimate the user substitutability and complementarity of media by using media diary data on the media use of individuals over the course of three days. Fixed-effects panel data models allow us to eliminate possible bias due to individual-specific media use propensity. We observe significant substitution among paper, television, and computer use, while telephone and computer

This issue of Journal of Media Economics includes three articles covering a wide range of mediarelated topics. All three articles have important implications for media firms, from advertisers to traditional media content providers. These articles also raise important points in a larger publicpolicy sense, as well. The first article is “Advertising Content and Television Advertising Avoidance,” by Kenneth

ABSTRACT This article investigates the link between media coverage of celebrity suicides and the nation’s suicide rate. The instrumental variable regression is applied to suicide data from Statistics Korea and the media coverage data on celebrity suicides from Mediagaon of the Korea Press Foundation during the period from 1997 to 2009. The estimation results demonstrate that Korean celebrity suicides

ABSTRACT This article proposes a new measure of television advertising avoidance, the Passive/Active Zap (PAZ), as an occurrence of a set-top box switching channels during a commercial break after at least 5 min of inactivity prior to the break. Twenty-seven percent of eligible commercial breaks are interrupted by a PAZ. A proportional hazards model is applied to a unique dataset to estimate the impact

ABSTRACT We estimate the value of leisure online by applying Goolsbee and Klenow (2006) method to Nielsen Clickstream dataset, which covers the clickstream of more than 12,000 internet users in France, Germany, Italy, Spain and United Kingdom, in 2011. We find that the equivalent variation of welfare from leisure online for the average internet user was between 524 and 785 euros per year. At country

ABSTRACT It goes nearly unchallenged that ambition for increased demand and therefore commercial forces induce newspapers to engage in sensationalism. However, who actually benefits, and to what extent, by reporting on alleged scandals remains largely unclear. Accordingly, this study evaluates the business outcomes of the most spectacular German scandal in recent decades. The results provide an explanation

ABSTRACT Based on an explorative case study in the Netherlands, the authors developed a methodology to assess the welfare effects of public service broadcasting. This methodology consists of a combination of revealed and stated preferences, using readily available data for all programs broadcast in the evening in 2011. The results cover both individual programs and an aggregate level. Because the data

The first article in this issue finds no support for the widespread belief that sensational news coverage can increase a news organization’s profits. The second article estimates the average user in five European countries receives consumer surplus from free access to internet leisure activities of 525 to 785 Euros per year. The third article estimates the annual welfare from public service broadcasting