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titles according to genre (action, adventure, drama, horror,
science fiction, suspense, and thriller). Within each
categorization, he computed high, low, mean, and median units
shipped, as well as wholesale price statistics.
Mr. Wagner separated the EBD film titles into: (i) Titles
with more well-known actors and (ii) titles with lesser-known
actors. He categorized them according to genre. Using the
median gross units shipped from comparable film titles in the AMR
data, Mr. Wagner projected gross units shipped for the EBD film
titles.131
On the basis of discussions with industry participants, Mr.
Wagner projected that the unit return rate for units shipped to
the rental market would be 7.5 percent of the gross units
shipped. On the basis of the median wholesale prices per unit
for comparable AMR film titles, Mr. Wagner projected a $59
130(...continued)
person’s web page or credits on the IMDb database. Mr. Wagner
analyzed IMDb’s STARmeter rankings using information from 2004.
131 Mr. Wagner applied a “discount” to the expected
performance of foreign-language films in the EBD film library.
He calculated this discount by comparing the average performance
of foreign-language films to various other genres and applying
this relationship (percentage of foreign-language units to other
genre units) to his film title categorizations. Mr. Wagner also
revised the data for film titles in the horror genre and the
well-known actors/action genre category to account for drops in
units shipped in those categories in 1996.
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