Bedrijfsstrategieën, overheidsbeleid en de Europese filmmarkt tijdens het Interbellum. Een economisch-historisch perspectief
Business strategies, government policy and the European film market during the interwar period: an economic-historical perspectiveThis paper identifies four basic economic characteristics underlying the evolution of the motion picture industry. First, the importance of endogenous sunk costs led to a quality race in the 1910s that left European companies behind. Second, the fact that marginal revenues equalled marginal profits led to extreme vertical integration. Third, a public-good characteristic of motion pictures - non-diminishability - led to a skewed income distribution among talent, with a few superstars taking most pay, although the Hollywood studios mitigated this with seven-year contracts. Fourth, the project-based nature of film production yielded large intra- and inter-industry agglomeration benefits, leading to geographical concentration. In reaction to this changing economic environment European firms formed alliances - eventually thwarted by the rise of protection and fascism - and focused on highly differentiated films. Policy makers reacted with protectionist legislation that offered European consumers more variety at the expense of quality; provided a countervailing power to the colluding Hollywood studios at the expense of increased national resources used in film production; enabled an improved balance of payment at the expense of trade friction with the u.s.; and created national agglomeration benefits possibly at the expense of other or new creative industries.
|Publisher||Netherlands Institute for Sound and Vision|
|Journal||Tijdschrift voor Mediageschiedenis|
|Rights||Authors who publish with this journal agree to the following terms:Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).|
|Note||TMG Journal for Media History; Vol 13, No 2 (2010): Het filmbedrijf en de markt; 13-36|
Bakker, Gerben. (2010). Bedrijfsstrategieën, overheidsbeleid en de Europese filmmarkt tijdens het Interbellum. Een economisch-historisch perspectief. Tijdschrift voor Mediageschiedenis, 13(2), 13–36. doi:10.18146/tmg.576