| Article ID: | iaor20108664 |
| Volume: | 8 |
| Issue: | 1 |
| Start Page Number: | 1 |
| End Page Number: | 26 |
| Publication Date: | Dec 2011 |
| Journal: | International Journal of Services and Operations Management |
| Authors: | Smith Alan D |
| Keywords: | film industry |
As the movie studios have seen a significant increase in the sale of DVDs, then falling as the entertainment consumer public are moving towards movie rentals, the surge of mass‐popularity with digitally enhanced entertainment has some analysts speculating that poor service, promotion, and higher costs of theatre tickets and food are at least partially to blame as customers seek lower‐cost alternatives to the traditional movie experience. Through industrial statistics, business literature review and a pilot study, the service and operational characteristics of short‐term profits seem to be winning over longer‐term strategic positioning in the movie industry.