Movie Theatre Monopoly
Movie Theatre Monopoly
Personal concession allegiances whatever they may be, they have the tendency of being severely entrenched. For most people, a trip to a local movie theatre to view a current movie is not complete without the consumption of goodies, even if the type of goody is at other times avoided. Mainly at such outrageous prices are these goodies avoided. How was this cultural tradition formed? Today the heart of the business involving movie theatres is concessions. The National Association of Theatre Owners report that approximately 40% of a movie theatre’s net revenue comes from the sale of concessions (Pellettieri , 2007).
In the year 1905, the movie theatre business transformed from on stage live performances to motion pictures. At that time, concessions were not sold inside of movie theatres, but patrons were able to make purchases of food from candy shops and candy bars that flanked the movie theatres. Theatre owners did not understand at that time just how lucrative the purchase of concessions could potentially be. Far from theatre owners embracing foodstuff sales, they wanted their venues to remain in an upscale fashion. Therefore, food was not allowed inside of movie theatres because of the unwanted sight of left over litter (Pellettieri , 2007).
The Great Depression caused theater owners to come up with new ways to generate revenue. Owners started installing candy dispensers and allowed popcorn vendors in their venues. It was only a short period before owners realized the lucrative promise that the sale of popcorn had. Theatre owners started selling popcorn at 10 cents a bag and began generating an exceptional profit for the time period. As the years progressed owners began incorporating concession stands inside of movie theatres and sold a variety of snacks (Pellettieri , 2007).
In present day, there is a wide variety of gourmet style edibles offered at concession stands inside of movie theatres. Because the movie going experience is linked to the consumption of goodies,