Factors of Sequel Box Office Revenue

Student: Shilko Vladislav

Faculty: Faculty of Economics, Management, and Business Informatics

Educational Programme: Economics (Bachelor)

Final Grade: 10

Year of Graduation: 2020

This paper is aimed to find the most significant factors affecting the box office of sequels. To estimate these factors, we use Heckman model. At the first step of the research we use probit regression model to analyze the probability of creating a sequel. And then we use OLS method to make regression model and examine all the factors possibly correlated with the box office including inverse Mills ratio (IMR). And finally, we find that the box office of the first weekend, budget, sequel release in December, runtime and IMR are significant and positively affect the sequel box office revenues and such MPAA ratings as “PG-13” and “R” are significant and negatively affect the sequel box office revenues.

Full text (added May 21, 2020)

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