E-Commerce

Dilution And Enhancement Of Celebrity Brands Through Sequential Movie Releases

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Executive Summary

This paper examines the effects of sequential movie releases on the dilution and enhancement of celebrity brands. The authors use favorability ratings collected over a 12-year period (1993 to 2005) to capture movement in the brand equity of a panel of actors/actress. A dynamic panel data model is used to investigate how these changes are associated with the performance and characteristics of movies featuring these actors/actresses, after controlling for the possible influence from these stars' off-camera activities. This research offers insights for actors/actresses regarding how to strategically make movie selections for maximizing their brand equity.

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