From a movie business standpoint, what exactly are the repercussions when a film “bombs at the box office”?

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Whether it’s due to bad reviews, people not just showing up to watch, or other factors, what happens afterwards behind the scenes when a film tanks?

In: Economics

9 Answers

Anonymous 0 Comments

The producers, studio, etc who funded it lose money. But it’s sort of like VC funding or stock market investing where your business model assumes a portion of investments will bomb/lose money and you make your profits on the 80% that don’t.

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