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Running head: MOVIE SALES INCOME ANALYSIS 1
Movie Sales Income Analysis:
Does Company Brand Affect Local and Foreign Movies Sales in the United States?
Student Name
Institution
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MOVIE SALES INCOME ANALYSIS 2
Introduction
Film industry in the United States of America has grown immensely in the last one
decade. According to Statista (2018), the film industry contributed over 15 billion US dollars to
the he national GDP in 2018. The USA film which is famously known as the Hollywood has
ruled the cinema world for centuries with the industry generating enormous revenue annually.
However, stiff completion from the Chinese and Russian movie industry has seen the revenues
generated from the Hollywood decrease over years. According to PWC 2017 financial
projections of the Entertainment industry, china’s film industry is expected to rival Hollywood
films to earn gross revenue of more than $15.1 billion, 4 million higher than the revenues U.S
earns from film industry by 2020. Therefore, the need to study the revenue patterns of local and
foreign revenues from Movie industry by company brand is equally important. The study aims at
finding out whether the company brand affect local and foreign movies sales in the United States
of America.
Data Collection and Manipulation Procedure
The data utilized in this study is secondary and was retrieved from
https://data.world/datasets/movies website. The data consisted of five variables and 53
observations; therefore, the sample size is 53. Out of the five variables, two variable is
categorical (company name and file name) while the other three (Release date, Domestic, and
Foreign income) are quantitative. The variable “Company name “represented the company brand
of a movie film while the “release date” represented year a movie was released in the market.
Local and Foreign revenue shows the revenue proceeds from movie sales locally and
internationally.
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MOVIE SALES INCOME ANALYSIS 3
Data Analysis Procedure
The main data analysis in the study will be descriptive statistics. A side by side boxplot plot is a
drawn to compare the five number summary of the income sales of local and foreign income.
Moreover, pie charts are drawn to visually compare the incomes by company or by the sales
region.
Results and Interpretation
A five number salary indicates that the minimum local and foreign income from movie
sales regardless per company brand is $16.30 and $19.23 respectively. Similarly, the maximum
local and foreign income from movie sales regardless per company brand is $623.36 and $895.24
respectively. Clearly, the average minimum and maximum revenue for the foreign movies sales
is higher than the minimum and maximum revenue for local movies sales.
Table 1: A table showing five number summary
Five number Summary
Domestic
Foreign
Minimum
$ 16.30
$ 19.23
Quartile 1
$ 75.98
$ 77.75
Median
$ 154.70
$ 157.13
Quartile 3
$ 234.36
$ 311.50
Maximum
$ 623.36
$ 895.24
From the table 2, the mean movies sales per company in the local and foreign market is
$181.870 and 226.472 respectively with the standard deviation from the actual means 134.478
and 203.558 respectively. Comparing the mean income of movies sales per company and the
median income sows that median is lower than the mean for both local and foreign movie sales.
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MOVIE SALES INCOME ANALYSIS 4
Therefore, it is plausible to conclude that the income distribution of movies sales is skewed to
the right.
Table 2: A table showing Descriptive statistics of Local and Foreign movie sales
Descriptive Statistics
Domestic
mean
181.870
median
154.696
mode
#N/A
Range
607.062
Standard
Deviation
134.478
Figure 1: A box plot showing both the domestic and Foreign Income from movies sales.
A box is a graphical representation that displays data patterns of a quantitative data
(Devore, 2011; Groebner, Shannon, Fry & Smith, 2013).The box and whisker plot figure 1 is a
$- $100.00 $200.00 $300.00 $400.00 $500.00 $600.00 $700.00 $800.00 $900.00 $1,000.00
Domestic
Foreign
Boxplots for Domestic and Foreign
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MOVIE SALES INCOME ANALYSIS 5
double plot which allows easier comparison of the median income of local and foreign proceeds
from movies per company. The median revenue from movies per company outside the United
States of America is relatively higher than the sales income from the local movies sales. Also,
the whiskers for foreign plots are longer than the of local movie sale income; therefore, there is
much variation between the income of foreign and local movie sales per company. The income
distribution of the domestic movie sales is normally distributed because the median divides the
boxplot by two relatively equal halves. In contrast, the right side of the foreign income is bigger
than the lower side; therefore, the distribution of foreign proceeds from moves sales is skewed to
the right. Lastly, the median of domestic movies sales is approximately 150 per company while
the median of foreign movies sales is approximately 160.
Figure 2: A time series plot for Domestic and Foreign Income against the Release time of a
movie
From the figure 2 above, the tome series plot shows an increasing trend for both domestic
and foreign income from movies sales. The upward trend of income movement is evident as the
$-
$100.00
$200.00
$300.00
$400.00
$500.00
$600.00
$700.00
$800.00
$900.00
$1,000.00
Release
1980
1986
1992
1997
2000
2002
2003
2003
2004
2004
2005
2005
2006
2007
2007
2008
2008
2010
2011
2011
2012
2012
2013
2013
2014
2014
A time series plot for Domestic and Foreign Income against the
Release timeof a movie
Domestic Foreign
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MOVIE SALES INCOME ANALYSIS 6
age of a movie increases; therefore, the newer the movie, the more the income generated. Such
an upward trend could be attributed to the technological increase and fast cheap internet across
the globe. Also, there are not observed seasonality and consistent patterns for both ties series
plots. Therefore, the times series plot lack seasonality. Lastly, the average foreign income from
movies sales in foreign land is higher than the average income from domestic movies sales.
Figure 3: A pie chart showing a comparison of Domestic income by company
To compare the overall income from movies Domestic movie sales by company shows that the
DC Company claims 77% market share of sales compared to the 23% of market share claimed
by marvel.
Figure 4: A pie chart showing a comparison of foreign income by company
Domestic (DC)
77%
Domestic(Marvel)
23%
A pie chart showing a comparison of Domestic income by
company
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MOVIE SALES INCOME ANALYSIS 7
To compare the overall income from movies foreign movie sales by company shows that the DC
Company claims 79% market share of sales compared to the 21% of market share claimed by
marvel.
Figure 5: A pie-chart of overall sales income by company name
To compare the overall income from both local and foreign movie sales by company shows that
the Foreign DC Company claims 39% market share of sales followed by the DC domestic sales
Foreign(DC)
79%
Foreign(Marvel)
21%
A pie chart showing a comparison of Foreign income by
company
Domestic (DC)
33%
Foreign(DC)
39%
Domestic(Marvel)
10%
Foreign(Marvel)
18%
A pie-chart of overall sales income by company name
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MOVIE SALES INCOME ANALYSIS 8
income(33%) and domestic Marvel company (18%). Therefore, the overall sales income of sales
is highest for DC Company in the foreign market and the least for Marvel Company in the local
company.
Figure 6: A scatterplot showing foreign and domestic income from movie sales
From the scatterplot of foreign income and domestic income from movie sales shows a positive
liner relationship. Therefore, an increase in one unit increase in the domestic income increase
consequently increases the foreign income. Also, the coefficient of determination (𝑅
2
=0.7781);
thus the fitted regression model explains 77.81% variability of foreign income around its mean.
Table 3: Correlation coefficient between Domestic and Foreign Income from movie sales.
Domestic
Foreign
Domestic
1
Foreign
0.882119675
1
y = 1.3353x - 16.371
R² = 0.7781
$-
$100.00
$200.00
$300.00
$400.00
$500.00
$600.00
$700.00
$800.00
$900.00
$1,000.00
$- $100.00 $200.00 $300.00 $400.00 $500.00 $600.00 $700.00
Foreign Income
Domestic income
A scatterplot showing foreign and Domestic income from movie
sales
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MOVIE SALES INCOME ANALYSIS 9
From table 3, the correlation between foreign and domestic company incomes is 0.8821.The
correlation coefficient shows a very high association between the foreign and domestic incomes
therefore a strong positive relationship exists between them.
Discussion and Conclusion
The market for movies in vast and the US-based movies companies; Marvel and DC
claims a large market share. The descriptive study shows that reputation and company brand
determines the both domestic income and foreign include from movies sales. Also, the findings
show that US companies earn income from foreign sales of movies than in the domestic market.
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MOVIE SALES INCOME ANALYSIS 10
References
Devore, J. L. (2011). Probability and Statistics for Engineering and the Sciences. Cengage
learning.
Groebner, D. F., Shannon, P. W., Fry, P. C., & Smith, K. D. (2013). Business statistics. Pearson
Education UK.
U.S. motion picture and video industry - revenue breakdown 2018 | Statista. (2020). Retrieved 11
May 2020, from https://www.statista.com/statistics/185100/revenue-sources-of-us-
motion-picture-and-video-industry-2009/

Unformatted Attachment Preview

Running head: MOVIE SALES INCOME ANALYSIS Movie Sales Income Analysis: Does Company Brand Affect Local and Foreign Movies Sales in the United States? Student Name Institution 1 MOVIE SALES INCOME ANALYSIS 2 Introduction Film industry in the United States of America has grown immensely in the last one decade. According to Statista (2018), the film industry contributed over 15 billion US dollars to the he national GDP in 2018. The USA film which is famously known as the Hollywood has ruled the cinema world for centuries with the industry generating enormous revenue annually. However, stiff completion from the Chinese and Russian movie industry has seen the revenues generated from the Hollywood decrease over years. According to PWC 2017 financial projections of the Entertainment industry, china’s film industry is expected to rival Hollywood films to earn gross revenue of more than $15.1 billion, 4 million higher than the revenues U.S earns from film industry by 2020. Therefore, the need to study the revenue patterns of local and foreign revenues from Movie industry by company brand is equally important. The study aims at finding out whether the company brand affect local and foreign movies sales in the United States of America. Data Collection and Manipulation Procedure The data utilized in this study is secondary and was retrieved from https://data.world/datasets/movies website. The data consisted of five variables and 53 observations; therefore, the sample size is 53. Out of the five variables, two variable is categorical (company name and file name) while the other three (Release date, Domestic, and Foreign income) are quantitative. The variable “Company name “represented the company brand of a movie film while the “release date” represented year a movie was released in the market. Local and Foreign revenue shows the revenue proceeds from movie sales locally and internationally. MOVIE SALES INCOME ANALYSIS 3 Data Analysis Procedure The main data analysis in the study will be descriptive statistics. A side by side boxplot plot is a drawn to compare the five number summary of the income sales of local and foreign income. Moreover, pie charts are drawn to visually compare the incomes by company or by the sales region. Results and Interpretation A five number salary indicates that the minimum local and foreign income from movie sales regardless per company brand is $16.30 and $19.23 respectively. Similarly, the maximum local and foreign income from movie sales regardless per company brand is $623.36 and $895.24 respectively. Clearly, the average minimum and maximum revenue for the foreign movies sales is higher than the minimum and maximum revenue for local movies sales. Table 1: A table showing five number summary Five number Summary Domestic Foreign Minimum $ 16.30 $ 19.23 Quartile 1 $ 75.98 $ 77.75 Median $ 154.70 $ 157.13 Quartile 3 $ 234.36 $ 311.50 Maximum $ 623.36 $ 895.24 From the table 2, the mean movies sales per company in the local and foreign market is $181.870 and 226.472 respectively with the standard deviation from the actual means 134.478 and 203.558 respectively. Comparing the mean income of movies sales per company and the median income sows that median is lower than the mean for both local and foreign movie sales. MOVIE SALES INCOME ANALYSIS Therefore, it is plausible to conclude that the income distribution of movies sales is skewed to the right. Table 2: A table showing Descriptive statistics of Local and Foreign movie sales Descriptive Statistics Domestic Foreign mean 181.870 226.472 median 154.696 157.126 mode #N/A Range 607.062 876.012 113.183 Standard Deviation 134.478 203.558 Figure 1: A box plot showing both the domestic and Foreign Income from movies sales. Boxplots for Domestic and Foreign Foreign Domestic $- $100.00 $200.00 $300.00 $400.00 $500.00 $600.00 $700.00 $800.00 $900.00$1,000.00 A box is a graphical representation that displays data patterns of a quantitative data (Devore, 2011; Groebner, Shannon, Fry & Smith, 2013).The box and whisker plot figure 1 is a 4 MOVIE SALES INCOME ANALYSIS 5 double plot which allows easier comparison of the median income of local and foreign proceeds from movies per company. The median revenue from movies per company outside the United States of America is relatively higher than the sales income from the local movies sales. Also, the whiskers for foreign plots are longer than the of local movie sale income; therefore, there is much variation between the income of foreign and local movie sales per company. The income distribution of the domestic movie sales is normally distributed because the median divides the boxplot by two relatively equal halves. In contrast, the right side of the foreign income is bigger than the lower side; therefore, the distribution of foreign proceeds from moves sales is skewed to the right. Lastly, the median of domestic movies sales is approximately 150 per company while the median of foreign movies sales is approximately 160. Figure 2: A time series plot for Domestic and Foreign Income against the Release time of a movie A time series plot for Domestic and Foreign Income against the Release timeof a movie Release 1980 1986 1992 1997 2000 2002 2003 2003 2004 2004 2005 2005 2006 2007 2007 2008 2008 2010 2011 2011 2012 2012 2013 2013 2014 2014 $1,000.00 $900.00 $800.00 $700.00 $600.00 $500.00 $400.00 $300.00 $200.00 $100.00 $- Domestic Foreign From the figure 2 above, the tome series plot shows an increasing trend for both domestic and foreign income from movies sales. The upward trend of income movement is evident as the MOVIE SALES INCOME ANALYSIS 6 age of a movie increases; therefore, the newer the movie, the more the income generated. Such an upward trend could be attributed to the technological increase and fast cheap internet across the globe. Also, there are not observed seasonality and consistent patterns for both ties series plots. Therefore, the times series plot lack seasonality. Lastly, the average foreign income from movies sales in foreign land is higher than the average income from domestic movies sales. Figure 3: A pie chart showing a comparison of Domestic income by company A pie chart showing a comparison of Domestic income by company Domestic(Marvel) 23% Domestic (DC) 77% To compare the overall income from movies Domestic movie sales by company shows that the DC Company claims 77% market share of sales compared to the 23% of market share claimed by marvel. Figure 4: A pie chart showing a comparison of foreign income by company MOVIE SALES INCOME ANALYSIS 7 A pie chart showing a comparison of Foreign income by company Foreign(Marvel) 21% Foreign(DC) 79% To compare the overall income from movies foreign movie sales by company shows that the DC Company claims 79% market share of sales compared to the 21% of market share claimed by marvel. Figure 5: A pie-chart of overall sales income by company name A pie-chart of overall sales income by company name Foreign(Marvel) 18% Domestic (DC) 33% Domestic(Marvel) 10% Foreign(DC) 39% To compare the overall income from both local and foreign movie sales by company shows that the Foreign DC Company claims 39% market share of sales followed by the DC domestic sales MOVIE SALES INCOME ANALYSIS 8 income(33%) and domestic Marvel company (18%). Therefore, the overall sales income of sales is highest for DC Company in the foreign market and the least for Marvel Company in the local company. Figure 6: A scatterplot showing foreign and domestic income from movie sales A scatterplot showing foreign and Domestic income from movie sales $1,000.00 $900.00 y = 1.3353x - 16.371 R² = 0.7781 Foreign Income $800.00 $700.00 $600.00 $500.00 $400.00 $300.00 $200.00 $100.00 $$- $100.00 $200.00 $300.00 $400.00 $500.00 $600.00 $700.00 Domestic income From the scatterplot of foreign income and domestic income from movie sales shows a positive liner relationship. Therefore, an increase in one unit increase in the domestic income increase consequently increases the foreign income. Also, the coefficient of determination (𝑅 2 =0.7781); thus the fitted regression model explains 77.81% variability of foreign income around its mean. Table 3: Correlation coefficient between Domestic and Foreign Income from movie sales. Domestic Domestic Foreign Foreign 1 0.882119675 1 MOVIE SALES INCOME ANALYSIS From table 3, the correlation between foreign and domestic company incomes is 0.8821.The correlation coefficient shows a very high association between the foreign and domestic incomes therefore a strong positive relationship exists between them. Discussion and Conclusion The market for movies in vast and the US-based movies companies; Marvel and DC claims a large market share. The descriptive study shows that reputation and company brand determines the both domestic income and foreign include from movies sales. Also, the findings show that US companies earn income from foreign sales of movies than in the domestic market. 9 MOVIE SALES INCOME ANALYSIS 10 References Devore, J. L. (2011). Probability and Statistics for Engineering and the Sciences. Cengage learning. Groebner, D. F., Shannon, P. W., Fry, P. C., & Smith, K. D. (2013). Business statistics. Pearson Education UK. U.S. motion picture and video industry - revenue breakdown 2018 | Statista. (2020). Retrieved 11 May 2020, from https://www.statista.com/statistics/185100/revenue-sources-of-usmotion-picture-and-video-industry-2009/ Name: Description: ...
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