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Project Alliances Movie Industry: Choosing a  Co-finance
Stages of Movie Project Screen writing & development Assembly of a creative team Pre-production Production Post-production Distribution
Financing
Motives behind Alliances Risk reduction hypothesis Internal Capital market hypothesis Managerial bargaining power hypothesis Market structure hypothesis Resource pooling hypothesis Specialization hypothesis Lemon hypothesis
Research Basis A sample of 275 films produced by 12 major studios  Assembled two datasets at the movie level One consists of co-financed films and the other solely financed films
Variables taken in account
Comparison Movie Industry Alliances Alliances form after R&D Time consuming Inexpensive Bio-Tech Industry Alliances Alliances are formed before R&D Less time consuming Expensive
Findings Solely Financed: Less Risky 	Strategic Alliance: More Risky Performance doesn’t significantly differ in both cases
THANK YOU 

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Project Alliances

  • 1. Project Alliances Movie Industry: Choosing a Co-finance
  • 2. Stages of Movie Project Screen writing & development Assembly of a creative team Pre-production Production Post-production Distribution
  • 4. Motives behind Alliances Risk reduction hypothesis Internal Capital market hypothesis Managerial bargaining power hypothesis Market structure hypothesis Resource pooling hypothesis Specialization hypothesis Lemon hypothesis
  • 5. Research Basis A sample of 275 films produced by 12 major studios Assembled two datasets at the movie level One consists of co-financed films and the other solely financed films
  • 7. Comparison Movie Industry Alliances Alliances form after R&D Time consuming Inexpensive Bio-Tech Industry Alliances Alliances are formed before R&D Less time consuming Expensive
  • 8. Findings Solely Financed: Less Risky Strategic Alliance: More Risky Performance doesn’t significantly differ in both cases