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Old 11-17-2011, 04:47 PM   #204  
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Join Date: May 2006
Location: Novato, CA
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Originally Posted by PSound View Post
A wise man once said "revenue is the great equalizer". Who was that guy?
A wiser man would have said "profit is the great equalizer". The above statement holds true only if the proportion of profit generated from that revenue remains constant.

Theater operating costs have steady risen over the years, as a much greater proportion of costs are labor and overhead, as opposed to OD production, which sees material costs and production actually improve over time.

That's why you see CE products with falling prices while service oriented products (like theater and concerts) steadily climb.

The bottom line is that while box office may be going up, the difference is going to the theater operators rather than as profit for the studios.
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