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Disney to Acquire Twenty-First Century Fox

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Re: Disney to Acquire Twenty-First Century Fox

#52
post #26

Earlier quoted context omitted.

But wait. $1.54B at the box office doesn't equal $1.54B in profit. Right?

Right, but a large majority of it is. The film cost $445 million to make, including actors' salaries and marketing. That's over a billion in profit.

Exhibitors keep a large chunk of that $1.54bn.

Re: Disney to Acquire Twenty-First Century Fox

#53

Earlier quoted context omitted.

Market freedom leads to competition, doncha know?

Market freedom leads to consolidation which leads to the exact opposite of competition. This is why the United States, contrary to popular opinion, is not a purely capitalist nation; it is instead a hybrid between socialism and capitalism. Reasonable regulation protects the free market.

You seem to have "socialism" confused with some completely different system.

Re: Disney to Acquire Twenty-First Century Fox

#54

Sane antitrust regulations should kill this deal. It is bad for everybody other than shareholders of those two companies. In particular bad for customers, other companies and employees: https://www.economist.com/news/finance-and-economics/2172555... https://www.economist.com/news/briefing/21695385-profits-are...

It's entertainment. Why should anything other than being good for shareholders matter? It's not an essential goods company like say food or medicine

Re: Disney to Acquire Twenty-First Century Fox

#55

Maybe there will be a consolidation and some crappy repetitive movies will go away? I think these businesses are overvalued. What happens when consumers get sick of the super hero genre? EDIT: for whoever down-voted - that wasn't a sarcastic question. Honest question of what happens when the main products lose popularity? If there is a downturn in interest in that, will they get their $50B back?

I don't think a greater concentration than ever of movie studios is going to lead to creative flourishing, no.

Re: Disney to Acquire Twenty-First Century Fox

#57

Earlier quoted context omitted.

Yes you do. According to wired, [0] Disney paid Lucas Arts $4.5B, which half was cash. In 2016, [1] The Force Awakens made $1.54B globally. Maybe it's more now. Lets say that the last Jedi manages the same success? Well, they made their money back and the new rumored trilogy. That's profit. When you can put Spiderman and the X-men in the same universe as the Avengers and do the next 20 or 30 super hero movies where o…

They spent 52 billion on the merger.

in stock

Re: Disney to Acquire Twenty-First Century Fox

#58

Maybe there will be a consolidation and some crappy repetitive movies will go away? I think these businesses are overvalued. What happens when consumers get sick of the super hero genre? EDIT: for whoever down-voted - that wasn't a sarcastic question. Honest question of what happens when the main products lose popularity? If there is a downturn in interest in that, will they get their $50B back?

They'll make westerns.

It'd be an improvement.

Re: Disney to Acquire Twenty-First Century Fox

#60
Why not go all the way and merge all companies into 1 big one.

Being born on the wrong side of the iron curtain I already saw economy based on monopolies. Communism failed because prices were centrally set. We knew how to build useful things (that don't break 1 day after warranty) but not which ones to build and how many.

(wiki)

A price signal is information conveyed to consumers and producers, via the price charged for a product or service, which provides a signal to increase or decrease supply or demand.

https://en.wikipedia.org/wiki/Price_signal

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